Defence Minister Rajnath Singh lauded the 2026 Union Budget for allocating Rs 7.8 lakh crore to the defence sector. This budget, following India’s success in Operation Sindoor, reinforces the government’s commitment to bolstering national defense. Finance Minister Nirmala Sitharaman’s budget announcement revealed a 15% increase in defence allocation to Rs 7.8 lakh crore for the fiscal year 2026-27.
Singh expressed satisfaction with the substantial capital outlay of Rs 2.19 lakh crore for military hardware procurement, marking a 21.8% rise from the previous year’s allocation. He emphasized that this budget aligns with the public’s expectations and supports the vision of a self-reliant and developed India by 2047. Singh appreciated the focus on tri-services modernization, with a notable Rs 1.85 lakh crore allocation, a 24% increase from the previous year, enhancing India’s military capabilities.
The Defence Minister highlighted the budget’s emphasis on the welfare of retired soldiers and their families, with a significant increase in the allocation for the Ex-servicemen Contributory Health Scheme. The budget’s comprehensive approach aims to strengthen the nation’s security, development, and self-sufficiency. Singh commended the citizens on this budget, emphasizing its positive impact on national security.
Finance Minister Sitharaman’s proposal to waive basic customs duty on aircraft parts’ raw materials for maintenance benefits the defence sector. The budget’s strategic focus on force modernization, air defense systems, and advanced platforms continues, driving higher allocations for fighter jets, warships, missiles, and artillery guns. The increased capital expenditure is set to benefit both defense public sector undertakings and private-sector suppliers, supporting the sector’s growth amid expanding order books.
