Federal budget presented in India, 9.5% increase in defense budget proposed
Vito: Reuters/File
New Delhi: India's federal budget for fiscal year 2025-26 has proposed defense spending of Rs 6.81 trillion, which is 9.5 percent higher than last year's initial estimates.
The increase proposed in the budget would be spent on paying salaries and pensions instead of buying new weapons.
Of the defense budget, INR 4.7 trillion is earmarked for manpower expenditure and INR 1.80 trillion for procurement of war equipment.
The recent increase is 4.5 percent more than the increase in the defense budget of the last fiscal year, with Rs 486 billion for aircraft and aero engines, and Rs 243.9 billion for the fleet.
A former financial adviser to the Indian Ministry of Defense has said that it has long been a matter of concern that a large portion of the defense budget goes towards salaries and pensions.
It should be noted that India is yet to spend 125 billion rupees from its defense budget for the current fiscal year that ends on March 31, which Indian analysts say reflects the general slow nature of defense deals after long negotiations. is
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