Facilitate the optimisation of the Defence Budget
2 years, 9 months ago

Facilitate the optimisation of the Defence Budget

Hindustan Times  

Defence budgeting is a tricky exercise since the services and strategic experts are seldom satisfied. A high proportion of revenue expenditure militates against the very philosophy of efficient defence expenditure management that should graduate towards capital expenditure. Ephemeral support like this year’s higher allocation for capital expenditure or even institutionalised support like the non-lapsable Modernisation Fund for Defence and Internal Security do not provide sustainable solutions for long-term efficient budget management and will perpetuate the current revenue expenditure trends. Finally, public policy endeavours on containing revenue expenditure in the defence sector can become a success story only when the initiative comes from the constituency itself — ie the services — since outsiders may not have enough knowledge about the internal expenditure dynamics of the armed forces. It is time for the services to take a call on rationalising revenue expenditure beyond symbolism and facilitate the optimisation of the defence Budget.

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History of this topic

India’s defence budget 2024: Hits and misses
4 months, 1 week ago

India’s defence budget 2024: Hits and misses

Hindustan Times  

The defence sector budget allocation remained the same as the interim budget allocation, with finance minister Nirmala Sitharaman presenting the full budget on July 23, 2024, after the formation of the new government. Even though the budgetary allocation to the Defence Research and Development Organisation has increased to ₹23,855 crore in FY 2024-25 from ₹23,263.89 crore in FY 2023-24, there …

Budget 2024: The Neoliberal Lenses That Skew the Vision
4 months, 2 weeks ago

Budget 2024: The Neoliberal Lenses That Skew the Vision

The Hindu  

Published : Aug 04, 2024 16:08 IST - 6 MINS READ With the short-term, frenzied interest that accompanies annual Budget presentations having ended, it is time to look at issues that were largely ignored in the debate. In fact, around the time when Budget 2024-25 was presented, the G20 Finance Ministers’ meeting in Rio had agreed on jointly pursuing a …

Budget 2024: Defence gets more at ₹6.22 lakh crore, boost for BRO’s projects
5 months ago

Budget 2024: Defence gets more at ₹6.22 lakh crore, boost for BRO’s projects

The Hindu  

Union Finance Minister Nirmala Sitharaman allocated ₹6.22 lakh crore for the defence sector in 2024-25 which is almost the same as in the interim Budget presented in February. Follow LIVE updates from the Union Budget 2024 on July 23, 2024 The allocation of ₹6.22 lakh crore for the defence sector is 4.79% higher compared to the Budget Estimates of last …

India defence budget 2024: ₹6.21 lakh crore allocated; minister Rajnath Singh reacts
5 months ago

India defence budget 2024: ₹6.21 lakh crore allocated; minister Rajnath Singh reacts

Hindustan Times  

India has set aside ₹6,21,940 crore for defence spending in the Union Budget 2024-25 – up from last year's outlay of ₹5.94 lakh crore – finance minister Nirmala Sitharaman announced as she presented the Union Union Budget 2024 on Tuesday. The total allocation to the defence sector is 12.9 per cent of the total budget of the government of India …

Budget 2024: How much defence funding was allocated during the interim budget passed in February?
5 months ago

Budget 2024: How much defence funding was allocated during the interim budget passed in February?

India TV News  

In a modest hike, the government had in its last interim budget, increased the defence budget to Rs 6.21 lakh crore for 2024-25 from last year's allocation of Rs 5.94 lakh crore and announced an ambitious scheme for "deep-tech" technologies in the military domain. In the interim Union budget presented in Parliament by Finance Minister Nirmala Sitharaman in February, a …

India’s Defence Dilemma: Balancing Ambition with Limited Resources
7 months ago

India’s Defence Dilemma: Balancing Ambition with Limited Resources

News 18  

The Bharatiya Janata Party has been extremely efficient in producing headline-catching election manifestoes in 2014 and 2019 and especially again last month for the 2024 elections. Defence allocation has plummeted from a high of 3.5 per cent in the Congress rule in the late 1980s to less than 2 per cent today, even when the GDP has risen exponentially. As …

2024 Interim Budget | Government to consolidate the demand of three Services in defence allocation
10 months, 3 weeks ago

2024 Interim Budget | Government to consolidate the demand of three Services in defence allocation

The Hindu  

In a significant measure to bring jointness in the procurements of the armed forces, the Government has decided to consolidate the demand of the three services in the capital head of the defence budget based on similar items of expenditure such as land, aircraft and aeroengines, heavy and medium vehicles among others. The allocation of ₹6.2 lakh crore is 4.72% …

Defence Budget 2024: Govt Allocates Rs 6.2 Lakh Crore, Launches New Scheme To Boost Deep-Tech
10 months, 3 weeks ago

Defence Budget 2024: Govt Allocates Rs 6.2 Lakh Crore, Launches New Scheme To Boost Deep-Tech

ABP News  

New Delhi: In the Interim Union Budget 2024, Finance Minister Nirmala Sitharaman on Thursday allocated Rs 6.21 lakh crore for defence spending, a hike of Rs 27,000 crore compared to the previous year. In the budget, a total of Rs 1.72 lakh crore was set aside to the military for capital expenditure that largely includes purchasing new weapons, aircraft, warships, …

India sets aside ₹6.21 lakh crore for defence, announces new scheme for deep tech
10 months, 3 weeks ago

India sets aside ₹6.21 lakh crore for defence, announces new scheme for deep tech

Hindustan Times  

India on Thursday set aside ₹6.21 lakh crore for defence spending in the interim budget for 2024-25, with the defence ministry saying that the critical sector continues to receive the highest allocation among all ministries. India’s defence budget stood at ₹5.93 lakh crore last year, including a capital outlay of ₹1.62 lakh crore. “A new scheme will be launched for …

Budget may focus on welfare, infra, adhere to fisc glide path
10 months, 3 weeks ago

Budget may focus on welfare, infra, adhere to fisc glide path

Hindustan Times  

New Delhi India will meet its fiscal deficit target of 5.9% of GDP in 2023-24, and largely adhere to the envisaged glide path to bring it below 4.5% by 2025-26 on the back of robust GDP growth, buoyant tax collections, and better targeting of expenditure, officials familiar with the matter said, adding that public spending on welfare schemes and infrastructure …

Armed forces wait for a funds boost from Budget
10 months, 4 weeks ago

Armed forces wait for a funds boost from Budget

Hindustan Times  

Next week, the Union government will place an interim budget before Parliament. The Union budget pays for maintaining the Army, Navy and Air Force and provides support to defence public sector units and the research and development related to defence. The Army’s budget in 2023-24 shows that 70% of the 3.41 lakh crore allocation went to salaries and pensions, while …

India’s defence budgeting and the point of deterrence
1 year ago

India’s defence budgeting and the point of deterrence

The Hindu  

The Medium Multi-Role Combat Aircraft programme of the Indian Air Force earned the sobriquet of being the ‘mother of all procurements’ due its cost, pegged at around $10 billion in 2007. Need for judicious assessment The question is whether ‘affordable defence’ — due to the perennial guns versus butter dilemma — will be the driving factor. Though the research and …

75 percent of defence capital budget earmarked for domestic firms: Rajnath Singh
1 year, 10 months ago

75 percent of defence capital budget earmarked for domestic firms: Rajnath Singh

Deccan Chronicle  

NEW DELHI: In a major move to push “Make in India”, defence minister Rajnath Singh on Wednesday announced that 75 per cent of funds allocated in Union Budget 2023-24 for equipping the Army, Navy and Air Force with new weapons and technology will be spent on purchases from domestic industry. In the Union Budget, the capital outlay which goes in …

India keeps aside Rs90,000 Cr in Budget 23-24 for fuel, ammo, spares with eye on China, Ukraine war
1 year, 10 months ago

India keeps aside Rs90,000 Cr in Budget 23-24 for fuel, ammo, spares with eye on China, Ukraine war

Firstpost  

This amount, which is around Rs 90,000 crore will be used for maintenance of weapons, equipment and other assets, replenishing stocks of fuel and ammunition and procurement of critical spares along with other capabilities. This amount excludes pay and other allowances New Delhi: Even as India’s defence budget saw a significant hike of around 13% for the financial year 2023-24, …

Budget 2023 | Defence budget rises 13%; revised estimate for pension rises
1 year, 10 months ago

Budget 2023 | Defence budget rises 13%; revised estimate for pension rises

The Hindu  

The Union Budget presented in Parliament by Finance Minister Nirmala Sitharaman on Wednesday allocated ₹5.94 lakh crore for the Defence Ministry, a 13% increase year-on-year from last year’s budget estimates. The overall revised estimates for 2022-23 for defence stood at ₹5.85 lakh crore and this year’s allocation represents a 1.5% increase. Of this year’s defence budget, ₹2.7 lakh crore is …

Budget 2023: Defence spending increased by 13% to Rs 5.94 lakh crore
1 year, 10 months ago

Budget 2023: Defence spending increased by 13% to Rs 5.94 lakh crore

India Today  

Finance Minister Nirmala Sitharaman on Wednesday earmarked Rs 5.94 lakh crore for the Defence Ministry for the financial year 2023–24, which is a hike of around 13 per cent compared to last financial year. The allocation for the Defence Ministry is to be 13 per cent higher than what it was allocated in the Union Budget last year, which was …

Kamal Davar | More bangs for the buck: What FM must ensure for the military
1 year, 10 months ago

Kamal Davar | More bangs for the buck: What FM must ensure for the military

Deccan Chronicle  

On February 1, Union finance minister Nirmala Sitharaman will be presenting the anxiously awaited Union Budget for the fiscal year 2023-24. Most analysts surmise that, notwithstanding the overall financial health of the nation, the defence budget owing to diverse forthcoming challenges may witness a hike of 10-15 per cent in allocations and thus be in the region of Rs 6.6 …

Budget 2023: Here's How Much Govt Has Allocated To Defence Sector In Last Five Years
1 year, 10 months ago

Budget 2023: Here's How Much Govt Has Allocated To Defence Sector In Last Five Years

ABP News  

The announcement of the Union Budget for the year 2023-2024 is just a few days away. Take A Look At The Share Of Funds Allocated To Defence Sector In The Union Budget In Last Five Years: 2018-2019 In the year 2018-19, the Ministry of Defence was allocated Rs 4,04,365 crore for expenditure across the various services, production establishments, and research …

Data | Agnipath: With 34 lakh military pensioners, pensions form >50% of defence budget
2 years, 6 months ago

Data | Agnipath: With 34 lakh military pensioners, pensions form >50% of defence budget

The Hindu  

June 20, 2022 05:07 pm | Updated 05:38 pm IST One key reason for the Agnipath scheme, which aims to recruit defence personnel in short-term contracts, could be to reduce increasing pension payments in the Army, Navy, and Air Force. Share of defence budget The chart shows the defence pension budget and the defence R&D budget as a share of …

Pakistan increases defence budget to Rs 1,523 bn; hikes spending by 11 per cent
2 years, 6 months ago

Pakistan increases defence budget to Rs 1,523 bn; hikes spending by 11 per cent

India TV News  

Highlights Pak's defence budget is the second biggest annual expenditure component after debt payments Last year, the country spent Rs 1,450 billion in defence spending Pak Finance Minister presented Rs 9,502-billion annual budget in Parliament for fiscal 2022-23 Pakistan on Friday announced that it will allocate Rs 1,523 billion for defence, an increase of over 11 per cent than last …

Defence Ministry Forms Panel to Look into Capital Budget Spend on Domestic Purchases
2 years, 8 months ago

Defence Ministry Forms Panel to Look into Capital Budget Spend on Domestic Purchases

News 18  

The Ministry of Defence has set up a committee headed by a senior government official to oversee expenditure of the capital budget earmarked for procurements from the domestic industry in 2022-23 and ensure its full utilisation, News18 has learnt. News18 was the first to report on April 9 that the ministry, in 2021-22, has met the set target of spending …

SC seeks Centre's stand on 'One Rank, One Pension', asks if it went back to automatic enhancement
2 years, 10 months ago

SC seeks Centre's stand on 'One Rank, One Pension', asks if it went back to automatic enhancement

India TV News  

Highlights Supreme Court asked Centre whether it went back on its One Rank, One Pension policy for Armed forces SC asked Centre whether it can consider automatic annual revision instead of the current policy "Statement given by the Finance Minister during his speech does not become law" said the ASG The Supreme Court Tuesday asked the Centre whether, after agreeing …

Sanjaya Baru | More ‘bang for the buck’ in defence: New thinking vital
2 years, 10 months ago

Sanjaya Baru | More ‘bang for the buck’ in defence: New thinking vital

Deccan Chronicle  

Public discussion on the Union Budget quite understandably focuses on government spending in a range of areas that directly impact people’s lives like infrastructure, agriculture and rural development, education, health care, social welfare and so on. This year’s Budget papers show that total budgeted spending on defence as a percentage share of total Central government expenditure remains unchanged at around …

Collaboration with Private Industry to Meet Defence Needs Right Call, Bureaucracy Must Not Scuttle It
2 years, 10 months ago

Collaboration with Private Industry to Meet Defence Needs Right Call, Bureaucracy Must Not Scuttle It

News 18  

National security is so closely linked to economy that a country cannot sustain continued expenditure on defence unless it is backed by a vibrant economy. India now takes prides in being home to world-class private industry which is capable of manufacturing even the most sensitive and technologically advanced equipment, probably with foreign collaboration and technology sharing, hence, they must be …

Union Budget 2022 | Marginal hike in defence budget, emphasis on Make in India
2 years, 10 months ago

Union Budget 2022 | Marginal hike in defence budget, emphasis on Make in India

The Hindu  

In a further push for Make in India in defence,the Union government on Tuesday announced additional measures to boost domestic manufacturing and reduce imports. Of the ₹5.25 lakh crore for defence this year, the revenue allocation is ₹2.33 lakh crore, capital allocation ₹1.52 lakh crore and defence pensions ₹1.19 lakh crore. Within this, of the ₹1.52 lakh crore capital allocation …

Budget 2022: With IOR Focus, Navy Gets 43% Capital Outlay Hike, Army Modernisation Funds Dip 12.2%
2 years, 10 months ago

Budget 2022: With IOR Focus, Navy Gets 43% Capital Outlay Hike, Army Modernisation Funds Dip 12.2%

News 18  

Emphasising the central government’s focus on the Indian Ocean Region and overall maritime security, union finance minister Nirmala Sitharaman on Tuesday announced a massive jump of around 43 per cent in the modernisation funds of the Indian Navy in the defence budget for 2022-23 at Rs 47,590.99 crore. The Indian Air Force retained the biggest share of the forces’ capital …

Budget 2022: Rajnath Singh welcomes announcement for defence sector
2 years, 10 months ago

Budget 2022: Rajnath Singh welcomes announcement for defence sector

India TV News  

Highlights Defence Minister Rajnath Singh said the budget outlines the govt's focus on 'Aatmanirbharta' Rajnath said substantial amounts allocated towards research and development in several sectors It's a growth oriented Budget focused on harnessing energies of New India: Rajnath Singh Union Budget 2022 : Defence Minister Rajnath Singh on Tuesday described the proposal in the Union Budget as an "excellent …

Army, IAF Struggle to Exhaust Capital Budget, Defence Minister Asks to Expedite Spending
2 years, 10 months ago

Army, IAF Struggle to Exhaust Capital Budget, Defence Minister Asks to Expedite Spending

News 18  

The defence services have recorded an unusually slow pace of expenditure of their capital budgets so far for 2021-22, even as the financial year draws to a close in little more than two months, News18.com has learnt. Defence sources told News18.com that, so far, the Army has spent the lowest — approximately 40% — of its capital budget for the …

Pakistan’s Defence Budget Rises to 18.4%, But at What Cost?
3 years, 8 months ago

Pakistan’s Defence Budget Rises to 18.4%, But at What Cost?

News 18  

When it comes to currency distribution that runs a country, Pakistan believes in taking more from its citizens than giving it to them even if it compromises health services and education needs, the two most fundamental necessities of every common, poor man to survive and grow in life. According to the Pakistan’s 2020-21 budget, the current estimated expenditure is PKR …

Defence Budget 2021: Increased capital expenditure much-needed step in context of rising Chinese threat
3 years, 10 months ago

Defence Budget 2021: Increased capital expenditure much-needed step in context of rising Chinese threat

Firstpost  

While the defence Budget presented on Monday reflected only a minor hike in allocation, a reflection of the heightened tensions along the Line of Actual Control could be seen in unbudgeted spending and an increased push towards capital expenditure. In a tweet, Defence Minister Rajnath Singh thanked Prime Minister Narendra Modi and Sitharaman for increasing the defence Budget to Rs …

Defence Budget 2021: Guns over butter
3 years, 10 months ago

Defence Budget 2021: Guns over butter

India Today  

Among the most closely anticipated items in Budget 2020-21 was the defence budget. The Rs 4.78 lakh crore defence budget saw a modest hike of a little over Rs 6,000 crore or 1.4 per centamong the most meagre increments in recent years. The defence budget is usually hiked by around 10 per cent or roughly Rs 40,000 crore each year. …

Union Budget 2021: Centre allocates Rs 4.78 lakh crores for defence ministry, hikes capital outlay by 19%
3 years, 10 months ago

Union Budget 2021: Centre allocates Rs 4.78 lakh crores for defence ministry, hikes capital outlay by 19%

Firstpost  

The total outlay of Rs 4.78 lakh crore included an allocation of Rs 1.15 lakh crore for payment of pensions New Delhi: At a time Indian and Chinese troops are locked in a standoff in eastern Ladakh, the government on Monday increased the capital outlay for the armed forces by nearly 19 percent while allocating a total of Rs 4.78 …

Defence Budget: Amid LAC Rift, FM Nirmala Sitharaman Augments Defence Capital Expenditure By 19%
3 years, 10 months ago

Defence Budget: Amid LAC Rift, FM Nirmala Sitharaman Augments Defence Capital Expenditure By 19%

ABP News  

At a time when India is engaged in a prolonged border tiff with China near Line of Actual Control in eastern Ladakh, Union Finance Minister Nirmala Sitharaman has allocated Rs 4.78 lakh crores for the defence ministry. Reacting to this, Defence Minister Rajnath Singh thanked Prime Minister Narendra Modi and Sitharaman for increasing the defence budget. Praising the budget, the …

Union Budget 2021: Developments around LAC, LOC warrant hike in allocation in defence outlay
3 years, 10 months ago

Union Budget 2021: Developments around LAC, LOC warrant hike in allocation in defence outlay

Firstpost  

Due to the major developments in the situation around LAC and LOC in the past year, the defence budget for 2021 is expected to go up. Setting up of Project Management Unit : The DAP 2020 mandates setting up of a PMU to support contract management so as to usher in faster decision making and time-bound defence acquisition process. With …

The rising cost of the defence pension bill
3 years, 11 months ago

The rising cost of the defence pension bill

The Hindu  

THE Union Budget 2020-21 highlighted the rising cost of the defence pension bill. While the defence outlay of Rs.4,71,378 crore is 9.37 per cent higher than the budget estimates of 2019-20, the allocation for defence pensions, at Rs.1,33,825 crore, showed a 19.4 per cent increase from the previous year’s allocation of Rs.1,12,080 crore. The periodic increase in salary, pensions and …

Atmanirbhar in defence: India must battle demons within before tackling external threats
4 years, 4 months ago

Atmanirbhar in defence: India must battle demons within before tackling external threats

Firstpost  

Even if the industry bites the bullet and agrees to go full throttle on defence manufacturing, the lack of transparency from the government corridor will hardly instil confidence in the private sector. #AtmanirbharBharat — Rajnath Singh August 9, 2020 “This decision will offer a great opportunity to the Indian defence industry to manufacture the items in the negative list by …

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