Indian Defense Budget Examined Through Online Media

India has allocated INR 6.21 lakh crore (approximately $75 billion) to its defence sector for the financial year 2024-2025, marking a 4.79% increase from the previous year. This allocation represents 1.9% of India’s GDP and 12.9% of the annual national expenditure, the lowest percentage since 1960 in terms of GDP.

The defence budget is divided into three main categories: Defence services at INR 4.55 lakh crore, defence pensions at INR 1.41 lakh crore, and Ministry of Defence (Civil) at INR 25,563 crore. Within the defence services allocation, INR 1.7 lakh crore is earmarked for capital expenditure, while INR 2.8 lakh crore is allocated for revenue expenditure.

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The budget aims to fund a wide range of military equipment acquisitions, including modernization of Su-30MKI fighter fleet, procurement of engines for MiG-29 fleet, purchase of C-295 transport aircraft and LCA Mk1A fighters. Contracts for additional submarines, Rafale Marine fighters, and long-range drones are also anticipated. Border infrastructure development remains a priority, with a 30% increase in funding for the Border Roads Organisation.

Despite steady increases over the past five years, India’s defence spending lags behind major global powers like the US, China, and Russia. China’s declared defence budget, at $296 billion, is three and a half times larger than India’s. Indian experts argue that at least 2.5% of projected GDP is needed to address potential two-front war threats.

The current allocation may pose challenges for India’s ambition to achieve great power status by 2047, as outlined in the Viksit Bharat 2047 goal. The gap between India’s defence spending and that of its regional competitors raises questions about the country’s ability to modernize its military and address security challenges effectively.

As India navigates an increasingly complex geopolitical landscape, the adequacy of its defence budget will likely remain a topic of debate among policymakers and security experts.

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