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Home India

India’s Defence Budget Likely To Be Augmented By Rs 50,000 Crore

by OB Bureau
May 16, 2025
in India
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New Delhi: India’s defence budget for 2025-26 is likely to be augmented by Rs 50,000 crore after Operation Sindoor. This increase will be made through a supplementary budget and the funds will be utilised for Research and Development, and procurement of modern equipment.

This addition will take the overall defence allocation for the year to over Rs 7 lakh crore. A record Rs 6.81 lakh crore was already allocated for the armed forces in this year’s general budget. This was a significant 9.2 per cent increase from the Rs 6.22 lakh crore allocated in 2024-25.

According to sources, approval for the incresed budget will be sought in the Parliament’s Winter Session. Stress will be on the purchase of weapons, ammunition, and other necessary equipment. Much of this will go towards purchased of products and systems from Indian companies under the Government of India’s Make In India policy.

“Such an augmentation is common after a conflict due to the unplanned expenditure that takes place. Make In India has also taken off in a big way now. New strategies are being worked out and orders will be placed accordingly. Stocks will also have to be replenished. Damaged or destroyed assets will also have to be repaired and replaced,” an official said.

Defence spending has been a key focus area for the Narendra Modi government over the last decade. The defence allocation for 2014-15 was Rs 2.29 lakh crore. The 2025-26 allocation is the highest of all ministries and is 13 per cent of the total budget.

“Defence preparedness is crucial. This became clear during Operation Sindoor. India cannot hope for lasting peace along her western border. While there has been a cessation of firing, the diplomatic stand-off continues. Pakistan is also smarting from the military debacle it suffered and will try to get back at India,” the official added.

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