New Delhi: In a major boost to the Atamnnirbhar Bharat, the Centre is likely to increase the defence budget by Rs 50,000 crore after the success of Operation SIndoor, as per media reports citing sources. Notably, India’s indigenous weapons, like the Akash missile system, gained global attention post India’s unprecedented military action against terror camps in Pakistan and Pakistan-Occupied Kashmir (PoK).
With this additional amount, the Defence budget for the financial year 2025-26 will crore Rs 7 lakh crore. In the Union Budget 2025-26, Finance Minister Nirmala Sitharaman allocated Rs 6.81 lakh crore, marking an increase of 9.2 per cent from the Rs 6.22 lakh crore in 2024-25.
As per NDTV, approval to increase the defence budget by Rs 50,000 crore will be sought during the winter session of Parliament, reported NDTV, citing sources. The additional amount will reportedly be spent on research and development, purchase of modern defence weapons. For the unversed, the allocation for the defence budget in the Union Budget 2025-26 is the highest of all ministries, amounting to 13 per cent of the total budget.
Since coming to power in 2014, defence has been the focus of the Narendra Modi government. In its first budget in 2014, the Modi government had allocated Rs 2.29 lakh crore.
How This Additional Allocation Of Rs 50,000 Will Boost Atmanirbhar Bharat or Make in India Campaign:
Enhanced Indigenous R&D:
A large portion of the additional allocation is expected to go towards research and development (R&D), empowering Indian defence scientists and engineers to innovate and develop cutting-edge technology.
For example, the Akash missile system, which played a key role in Operation Sindoor, is a successful product of indigenous R&D led by the Defence Research and Development Organisation (DRDO).
Strengthening Domestic Defence Manufacturing:
The increased budget will support domestic manufacturing, reducing dependency on foreign defence imports.
Companies such as Hindustan Aeronautics Limited (HAL), Bharat Electronics Limited (BEL), and private players in the defence sector are expected get benefit from the additional amount.
Development of Advanced Indigenous Systems:
The Bhargavastra, a low-cost counter-drone system tested after Operation Sindoor, is a prime example of India’s focus on developing advanced indigenous systems.
In future, the government is expected to focus on the development of indigenous advanced missile systems, unmanned aerial vehicles (UAVs), and air defence systems.
Boost to Startups and MSMEs in Defence:
The additional amount will also provide a boost to Indian startups and Micro, Small, and Medium Enterprises (MSMEs) working in the defence sector.
These smaller companies can play a key role in the supply chain of larger defence manufacturing projects.
Creation of High-Skilled Jobs:
With the increase in defence manufacturing and R&D, a large number of high-skilled jobs will be generated.
Expansion of Defence Exports:
With the increase in production of defence equipment, including modern weapons, India can increase its defence exports.
The Centre has set a target of achieving Rs 50,000 crore defence exports by 2029.
After the military conflict following Operation Sindoor, India’s defence system, especially Akash missile system along with Russian-made S-400 missiles thwarted Pakistan’s aerial attack.
Defence Stories 
Leave a comment