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Military budget of India

The military budget or defence budget of India is the portion of the overall budget of Union budget of India that is allocated for the funding of the Indian Armed Forces. The military budget finances employee salaries and training costs, maintenance of equipment and facilities, support of new or ongoing operations, and development and procurement of new technologies, weapons, equipment, and vehicles.[1]

Indian Navy carrier battle group in transit led by aircraft carrier INS Vikramaditya

The Indian Army accounts for more than half of the total defence budget of India, with most of the expenditure going to the maintenance of cantonments, salaries and pensions, rather than critical arms and ammunition.[2]

Overview Edit

India's defence budget includes allocation for the three defence services: the army, navy and air force. It also includes allocation for the ordnance factories, research and development, and capital outlay. Additionally there are civil defence expenditures such as pensions. Unofficial expenditure includes expenses for four of the six Central Armed Police Forces responsible for border security. The space program and atomic energy are funded separately.[3]

India's official and unofficial defence allocation[3]
Official status Category or Demand for Grants (DFGs) DCE/DSE
Unofficial Ministry of Defence (Canteen Store Department, MOD Secretariat, Coast Guard, J&K Light Infantry) Defence Civil (DCE)
Pensions and other benefits
Official defence budget Operating expenses Army (including the National Cadet Corps (NCC), Director General of Quality Assurance (DGQA), Military Farms and Ex-Servicemen Contributory Health Scheme) Defence Services (DSE)
Navy (Joint Staff)
Air Force
Ordnance Factories
Defence Research and Development Organisation (DRDO)
Capital expense Capital outlay (Capital expenditure of all services including the NCC, Ordnance Factories and DGQA)
Unofficial Border Roads Organisation, Assam Rifles, Border Security Force, Indo-Tibetan Border Police, Sashastra Seema Bal, border management, CAPF construction, border outposts

Expenditures Edit

Share of military services in defence budget in 2020–2021:[4]

  Air Force (23.0%)
  Army (56.0%)
  Navy (15.0%)
  DRDO (6.0%)
 
Military expenditure in billion US$ and as % of GDP, 1985–2018 (data via World Bank and SIPRI)

2017–2018 Edit

The Minister of Finance allocated 359,000 crore (equivalent to 5.0 trillion or US$63 billion in 2023) of the 2017 Union budget of India for the development of the armed forces, marking a raise of around 7% from the previous fiscal year.[5][6]

2018–2019 Edit

In presenting the defence budget of 2018–2019, the Finance Minister allocated 404,365 crore (equivalent to 5.4 trillion or US$68 billion in 2023) for the Ministry of Defence (MOD).[7] This translates into an increase of 5.66% over the 2017–2018 defence budget.

2019–2020 Edit

As 2019 was an election year the National Democratic Alliance (NDA) government presented an interim budget in place of a regular budget as per the general practice. In the interim budget an allocation of 431,011 crore (equivalent to 5.4 trillion or US$67 billion in 2023) was made.[8] On its re-election the NDA government kept the military budget unchanged. However the actual expenditure exceeded the estimated amount and final defence spending for 2019–2020 stood at 448,820 crore (equivalent to 5.6 trillion or US$70 billion in 2023),[9] marking an increase of around 10% over the previous budget.

2020–2021 Edit

The allocation for defence during the fiscal year 2020–2021 stood at 471,378 crore (equivalent to 5.5 trillion or US$69 billion in 2023).[9] This amounted to an increase of nearly 9%.

2021–2022 Edit

The allocation for defence during the fiscal year 2021–2022 was 478,196 crore (equivalent to 5.4 trillion or US$67 billion in 2023), an increase of 1% over the previous year.[10]

2022–2023 Edit

The allocation for defence during the fiscal year 2022–2023 stood at 525,166 crore (equivalent to 5.6 trillion or US$70 billion in 2023), an increase of nearly 10% over the previous year.[11] making it the fourth highest in the world after the US, China, and Russia.[12][13]

2023–2024 Edit

The defence expenditure for fiscal year 2023–2024 stood at 593,538 crore (US$74 billion).[14]

Spending as a percentage of GDP Edit

Year Ruling coalition Expenditure (%) Change
2023
2022
2021 2.66 0.22 
2020 2.88 0.36 
2019 2.52 0.10 
2018 2.42 0.09 
2017 2.51 0.00
2016 2.51 0.10 
2015 2.41 0.09 
2014 2.50 0.03 
2013 2.47 0.07 
2012 2.54 0.11 
2011 2.65 0.06 
2010 2.71 0.18 
2009 2.89 0.34 
2008 2.55 0.21 
2007 2.34 0.18 

The above statistics were collected by the World Bank up to 2018.[15]

Capital acquisition Edit

Service BE[clarification needed] 2013–2014 (₹ in crore) RE[clarification needed] 2013–2014 (₹ in crore) Under/over spending (₹ in crore) Under/over spending (%) Interim 2014–2015 (₹ in crore) % growth of interim 2014–2015 over BE 2013–2014
Army 23,423.23 10,871.22 2,525.82 18.95 20,920.20 56.83 
Navy 19,972.78 19,234.32 3,614.47 15.39 23,020.86 1.95 
Air Force 37,048.06 36,016.54 1,031.52 2.78 31,817.89 14.12 
Total 73,853.88 66,682.07 7,171.81 9.71 705,738.95 2.55 

The above data was published by the Institute for Defence Studies and Analyses.[16]

See also Edit

References Edit

  1. ^ Navlakha, Gautam (1999). "Defence Spending: Cost of Fighting Imaginary Enemies". Economic and Political Weekly. 34 (19): 1085–1088. ISSN 0012-9976. JSTOR 4407922.
  2. ^ "Defence Manufacturing in India". www.investindia.gov.in. from the original on 3 January 2019. Retrieved 9 July 2021.
  3. ^ a b Behera 2015, p. 236–238.
  4. ^ Behera, Laxman Kumar (4 February 2021). "India's Defence Budget 2020-21". MP-IDSA. Retrieved 13 February 2021.
  5. ^ Behera, Laxman K (3 February 2017). "India's Defence Budget 2017-18:An Analysis". Institute for Defence Studies and Analyses. IDSA. Retrieved 8 May 2017.
  6. ^ "India's defence budget hiked 10pc to INR 2.74 trillion". Dawn. Reuters. 1 February 2017. Retrieved 1 February 2017.
  7. ^ Gurung, Shaurya Karanbir (1 February 2018). "Budget 2018: Defence sector gets a boost by 7.81%". Economic Times. Retrieved 26 February 2018.
  8. ^ Behera, Laxman Kumar (8 July 2019). "India's Defence Budget 2019-20". MP Institute for Defence Studies and Analyses. Retrieved 14 February 2020.
  9. ^ a b Behera, Laxman Kumar (4 February 2020). "India's Defence Budget 2020-21". MP Institute for Defence Studies and Analyses. Retrieved 14 February 2020.
  10. ^ "Budget 2021-22". Press Information Bureau. 1 February 2021. Retrieved 20 August 2023.
  11. ^ "Update: India increases defence budget by 10%". Janes.com. Retrieved 20 August 2023.
  12. ^ "India world's fourth largest defence spender in 2022, says report". The Economic Times. 26 April 2023. ISSN 0013-0389. Retrieved 20 July 2023.
  13. ^ "World military expenditure passes $2 trillion for first time". Stockholm International Peace Research Institute.
  14. ^ "Defence Budget of India 2023: India's defence sector gets Rs 5.94 lakh crore for 2023-24". The Economic Times. 2 February 2023. ISSN 0013-0389. Retrieved 20 August 2023.
  15. ^ "Military expenditure (% of GDP) - India | Data". data.worldbank.org. Retrieved 22 June 2020.
  16. ^ Behera, Laxman Kumar (23 February 2014). "India's Interim Defence Budget 2014-15: An Appraisal". MP Institute for Defence Studies and Analyses. Retrieved 20 July 2014.

Bibliography Edit

  • Behera, Laxman Kumar (2015). "15: Changing contours of Indian defence expenditure". In Pant, Harsh V. (ed.). Handbook of Indian Defence Policy: Themes, Structures and Doctrines. Routledge. ISBN 9781317380092 – via Google Books.

Further reading Edit

Books Edit

  • Ghosh, Amiya Kumar (1996). India's Defence Budget and Expenditure Management in a Wider Context. New Delhi: Lancer. ISBN 9781897829264.
  • Cohen, Stephen P.; Dasgupta, Sunil (2013). Arming without Aiming: India's Military Modernization. Brookings Institution Press. ISBN 9780815724926.

Reports Edit

  • Sethi, Sanjay (2014), "Performance Measurement: A Model for the Department of Defence Production" (PDF), Centre for Land Warfare Studies, New Delhi. Manekshaw Paper No. 46, KW Publishers

Journals Edit

  • Navlakha, Gautam (1999). "Defence Spending: Cost of Fighting Imaginary Enemies". Economic and Political Weekly. 34 (19): 1085–1088. ISSN 0012-9976. JSTOR 4407922.

News Edit

  • "Defence Procurement Policy". Press Information Bureau, Government of India. 24 March 2017. Retrieved 23 March 2021.
  • Philip, Snehesh Alex (9 August 2020). "Artillery guns, assault rifles, AFVs — Here's a list of 101 items MoD won't import in future". ThePrint. Retrieved 23 March 2021.


military, budget, india, military, budget, defence, budget, india, portion, overall, budget, union, budget, india, that, allocated, funding, indian, armed, forces, military, budget, finances, employee, salaries, training, costs, maintenance, equipment, facilit. The military budget or defence budget of India is the portion of the overall budget of Union budget of India that is allocated for the funding of the Indian Armed Forces The military budget finances employee salaries and training costs maintenance of equipment and facilities support of new or ongoing operations and development and procurement of new technologies weapons equipment and vehicles 1 Indian Navy carrier battle group in transit led by aircraft carrier INS VikramadityaThe Indian Army accounts for more than half of the total defence budget of India with most of the expenditure going to the maintenance of cantonments salaries and pensions rather than critical arms and ammunition 2 Contents 1 Overview 2 Expenditures 2 1 2017 2018 2 2 2018 2019 2 3 2019 2020 2 4 2020 2021 2 5 2021 2022 2 6 2022 2023 2 7 2023 2024 2 8 Spending as a percentage of GDP 2 9 Capital acquisition 3 See also 4 References 4 1 Bibliography 5 Further reading 5 1 Books 5 2 Reports 5 3 Journals 5 4 NewsOverview EditIndia s defence budget includes allocation for the three defence services the army navy and air force It also includes allocation for the ordnance factories research and development and capital outlay Additionally there are civil defence expenditures such as pensions Unofficial expenditure includes expenses for four of the six Central Armed Police Forces responsible for border security The space program and atomic energy are funded separately 3 India s official and unofficial defence allocation 3 Official status Category or Demand for Grants DFGs DCE DSEUnofficial Ministry of Defence Canteen Store Department MOD Secretariat Coast Guard J amp K Light Infantry Defence Civil DCE Pensions and other benefitsOfficial defence budget Operating expenses Army including the National Cadet Corps NCC Director General of Quality Assurance DGQA Military Farms and Ex Servicemen Contributory Health Scheme Defence Services DSE Navy Joint Staff Air ForceOrdnance FactoriesDefence Research and Development Organisation DRDO Capital expense Capital outlay Capital expenditure of all services including the NCC Ordnance Factories and DGQA Unofficial Border Roads Organisation Assam Rifles Border Security Force Indo Tibetan Border Police Sashastra Seema Bal border management CAPF construction border outpostsExpenditures EditShare of military services in defence budget in 2020 2021 4 Air Force 23 0 Army 56 0 Navy 15 0 DRDO 6 0 nbsp Military expenditure in billion US and as of GDP 1985 2018 data via World Bank and SIPRI 2017 2018 Edit The Minister of Finance allocated 359 000 crore equivalent to 5 0 trillion or US 63 billion in 2023 of the 2017 Union budget of India for the development of the armed forces marking a raise of around 7 from the previous fiscal year 5 6 2018 2019 Edit In presenting the defence budget of 2018 2019 the Finance Minister allocated 404 365 crore equivalent to 5 4 trillion or US 68 billion in 2023 for the Ministry of Defence MOD 7 This translates into an increase of 5 66 over the 2017 2018 defence budget 2019 2020 Edit As 2019 was an election year the National Democratic Alliance NDA government presented an interim budget in place of a regular budget as per the general practice In the interim budget an allocation of 431 011 crore equivalent to 5 4 trillion or US 67 billion in 2023 was made 8 On its re election the NDA government kept the military budget unchanged However the actual expenditure exceeded the estimated amount and final defence spending for 2019 2020 stood at 448 820 crore equivalent to 5 6 trillion or US 70 billion in 2023 9 marking an increase of around 10 over the previous budget 2020 2021 Edit The allocation for defence during the fiscal year 2020 2021 stood at 471 378 crore equivalent to 5 5 trillion or US 69 billion in 2023 9 This amounted to an increase of nearly 9 2021 2022 Edit The allocation for defence during the fiscal year 2021 2022 was 478 196 crore equivalent to 5 4 trillion or US 67 billion in 2023 an increase of 1 over the previous year 10 2022 2023 Edit The allocation for defence during the fiscal year 2022 2023 stood at 525 166 crore equivalent to 5 6 trillion or US 70 billion in 2023 an increase of nearly 10 over the previous year 11 making it the fourth highest in the world after the US China and Russia 12 13 2023 2024 Edit The defence expenditure for fiscal year 2023 2024 stood at 593 538 crore US 74 billion 14 Spending as a percentage of GDP Edit Year Ruling coalition Expenditure Change2023 National Democratic Alliance20222021 2 66 0 22 nbsp 2020 2 88 0 36 nbsp 2019 2 52 0 10 nbsp 2018 2 42 0 09 nbsp 2017 2 51 0 002016 2 51 0 10 nbsp 2015 2 41 0 09 nbsp 2014 2 50 0 03 nbsp 2013 United Progressive Alliance 2 47 0 07 nbsp 2012 2 54 0 11 nbsp 2011 2 65 0 06 nbsp 2010 2 71 0 18 nbsp 2009 2 89 0 34 nbsp 2008 2 55 0 21 nbsp 2007 2 34 0 18 nbsp The above statistics were collected by the World Bank up to 2018 15 Capital acquisition Edit Service BE clarification needed 2013 2014 in crore RE clarification needed 2013 2014 in crore Under over spending in crore Under over spending Interim 2014 2015 in crore growth of interim 2014 2015 over BE 2013 2014Army 23 423 23 10 871 22 2 525 82 18 95 20 920 20 56 83 nbsp Navy 19 972 78 19 234 32 3 614 47 15 39 23 020 86 1 95 nbsp Air Force 37 048 06 36 016 54 1 031 52 2 78 31 817 89 14 12 nbsp Total 73 853 88 66 682 07 7 171 81 9 71 705 738 95 2 55 nbsp The above data was published by the Institute for Defence Studies and Analyses 16 See also EditUnion budget of India Railway budget of IndiaReferences Edit Navlakha Gautam 1999 Defence Spending Cost of Fighting Imaginary Enemies Economic and Political Weekly 34 19 1085 1088 ISSN 0012 9976 JSTOR 4407922 Defence Manufacturing in India www investindia gov in Archived from the original on 3 January 2019 Retrieved 9 July 2021 a b Behera 2015 p 236 238 Behera Laxman Kumar 4 February 2021 India s Defence Budget 2020 21 MP IDSA Retrieved 13 February 2021 Behera Laxman K 3 February 2017 India s Defence Budget 2017 18 An Analysis Institute for Defence Studies and Analyses IDSA Retrieved 8 May 2017 India s defence budget hiked 10pc to INR 2 74 trillion Dawn Reuters 1 February 2017 Retrieved 1 February 2017 Gurung Shaurya Karanbir 1 February 2018 Budget 2018 Defence sector gets a boost by 7 81 Economic Times Retrieved 26 February 2018 Behera Laxman Kumar 8 July 2019 India s Defence Budget 2019 20 MP Institute for Defence Studies and Analyses Retrieved 14 February 2020 a b Behera Laxman Kumar 4 February 2020 India s Defence Budget 2020 21 MP Institute for Defence Studies and Analyses Retrieved 14 February 2020 Budget 2021 22 Press Information Bureau 1 February 2021 Retrieved 20 August 2023 Update India increases defence budget by 10 Janes com Retrieved 20 August 2023 India world s fourth largest defence spender in 2022 says report The Economic Times 26 April 2023 ISSN 0013 0389 Retrieved 20 July 2023 World military expenditure passes 2 trillion for first time Stockholm International Peace Research Institute Defence Budget of India 2023 India s defence sector gets Rs 5 94 lakh crore for 2023 24 The Economic Times 2 February 2023 ISSN 0013 0389 Retrieved 20 August 2023 Military expenditure of GDP India Data data worldbank org Retrieved 22 June 2020 Behera Laxman Kumar 23 February 2014 India s Interim Defence Budget 2014 15 An Appraisal MP Institute for Defence Studies and Analyses Retrieved 20 July 2014 Bibliography Edit Behera Laxman Kumar 2015 15 Changing contours of Indian defence expenditure In Pant Harsh V ed Handbook of Indian Defence Policy Themes Structures and Doctrines Routledge ISBN 9781317380092 via Google Books Further reading EditBooks Edit Ghosh Amiya Kumar 1996 India s Defence Budget and Expenditure Management in a Wider Context New Delhi Lancer ISBN 9781897829264 Cohen Stephen P Dasgupta Sunil 2013 Arming without Aiming India s Military Modernization Brookings Institution Press ISBN 9780815724926 Reports Edit Sethi Sanjay 2014 Performance Measurement A Model for the Department of Defence Production PDF Centre for Land Warfare Studies New Delhi Manekshaw Paper No 46 KW PublishersJournals Edit Navlakha Gautam 1999 Defence Spending Cost of Fighting Imaginary Enemies Economic and Political Weekly 34 19 1085 1088 ISSN 0012 9976 JSTOR 4407922 News Edit Defence Procurement Policy Press Information Bureau Government of India 24 March 2017 Retrieved 23 March 2021 Philip Snehesh Alex 9 August 2020 Artillery guns assault rifles AFVs Here s a list of 101 items MoD won t import in future ThePrint Retrieved 23 March 2021 nbsp This military article about the Indian Armed Forces is a stub You can help Wikipedia by expanding it vte Retrieved from https en wikipedia org w index php title Military budget of India amp oldid 1177511054, wikipedia, wiki, book, books, library,

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