Defense budget increased by 4.7 percent to Rs 6.21 lakh crore, an increase of Rs 27 thousand crore compared to last year.

New Delhi (Uttam Hindu News): The government on Thursday increased the defense budget to Rs 6.21 lakh crore in the interim Budget 2024-25, an increase of 4.72 per cent from the allocation of Rs 5.94 lakh crore in the last financial year. More than 13 percent has been allocated to the Defense Ministry in the budget presented in Parliament on Thursday by Union Finance Minister Nirmala Sitharaman. According to the Defense Ministry, the increased budgetary allocation will facilitate equipping the armed forces with state-of-the-art, specialized technology lethal weapons, fighter aircraft, ships, platforms, unmanned aerial vehicles, drones and specialist vehicles, among others.

The planned modernization of the existing Su-30 fleet as well as additional purchases of aircraft, acquisition of upgraded engines for the existing MiG-29, transport aircraft C-295 and acquisition of missile systems will be financed from the allocated budget, the ministry said in a statement. Will be nurtured.

Further, to further the ‘Make in India’ initiative, LCA Mk-1 IOC/FOC configuration will be additionally funded to ensure state-of-the-art technology in domestic production. Indian Navy projects such as procurement of amphibious assault aircraft, submarines, next generation survey ships etc. will be completed through this allocation, the ministry said.

The ministry said a major portion of the allocation will be utilized for procurement through domestic sources to provide the country with indigenously manufactured next generation weapon systems, which will have a multiplier effect on GDP, generate employment, ensure capital formation. And the domestic economy will get a boost.

The budgetary allocation for defense for FY 2024-25 is about Rs 1 lakh crore (18.35 per cent) higher than the allocation for FY 2022-23 and 4.72 per cent higher than the allocation for FY 23-24.

Of the total allocation of the ministry, a major share of 27.67 per cent is used for capital expenditure, 14.82 per cent for revenue expenditure on routine works and operational preparedness, 30.68 per cent for salaries and allowances, 22.72 per cent for pension and 4.11 per cent for Goes to civic organizations. The budgetary allocation for capital expenditure on defense for FY 2024-25 is Rs 1.72 lakh crore which is 20.33 per cent higher than the actual expenditure for FY 22-23 and 9.40 per cent higher than the revised allocation for FY 23-24.

The ministry said this allocation is in line with the Long Term Integrated Perspective Plan (LTIPP) of the three services, which aims to fill critical capability gaps through modernization of the armed forces by materializing some major acquisitions in FY 2024-25.