Defence Budget

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  • Additional Allocation for Defence – A Challenging Task for MoF

    The government seems to have little fiscal space for accommodating the demand of the armed forces for additional funds, given its quantum on the one hand and the state of its revenues on the other which are already quite stressed.

    September 26, 2019

    Can Fifteenth Finance Commission Resolve Funding Problems of Defence?

    Even if the Fifteenth Finance Commission manages to make a specific recommendation about the funds to be allocated for defence and internal security and the government accepts the recommendation, there can be no guarantee that the actual allocation will not fall short of the accepted level.

    July 24, 2019

    No Further Increase in Defence Outlay: Need to Move On

    It would be nice to see the defence ministry setting up a task force and submitting actionable recommendations which could be considered by the finance minister while deciding the defence outlay next year.

    July 10, 2019

    India’s Defence Budget 2019-20

    With the latest Union budget keeping the MoD interim allocation unchanged, the MoD has an uphill task in managing its resources and in funding its modernisation programmes.

    July 08, 2019

    Defence Agenda for Modi Government 2.0

    Implementing the outlined 27 reform measures in four broad areas – Planning, Defence Budget, Acquisition and Make in India – would strengthen defence preparedness and build a credible defence industrial base.

    June 06, 2019

    Fallibility of the Fall Clause

    While the purpose of the Fall Clause, a price safety mechanism in rate contracts, is indubitable, some issues concerning its applicability and implications, both for the buyer and the seller, merit a review.

    May 08, 2019

    Making the offset policy work better

    A dynamic offset policy has to include a mechanism for identifying the causes for likely delay or default on the part of vendors in discharging their obligation and removing the impediments faced by them

    March 20, 2019

    Servicing Committed Liabilities: Kicking the Can down The Road Will Not Help

    Shortage of funds even to service the committed liabilities raises questions about the financial affordability of the defence modernisation programme and viability of the push for ‘Make-in-India’ in defence.

    March 14, 2019

    Interim Defence Budget 2019-20

    The eight per cent hike in the interim defence budget 2019-20 is bound to further intensify the resource problem of the MoD, which is already battling a massive shortage of funds.

    February 04, 2019

    Defence Budget 2019-20: The Slide Continues

    Defence capability building and capability sustenance have been adversely affected over the past decade because of inadequate allocations and the status quo approach of the Defence Services.

    February 04, 2019

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