Budget 2026 Quiet on Defence, Spending Signals Firm Stand Against Pakistan and China

New Delhi: The Defense Ministry has got the largest budget so far in the Union Budget 2026-27. Finance Minister Nirmala Sitharaman made a total provision of Rs 7 lakh 85 thousand crore for defense in the budget presented in the Lok Sabha. This amount is about 15 percent more than last year's Rs 6 lakh 81 thousand crore. Most attention has been given to capital expenditure which this time reached Rs 2 lakh 31 thousand crore. Last year this figure was Rs 1 lakh 80 thousand crore i.e. an increase of 28 percent. 

In some media reports, the capital budget has been said to be Rs 2 lakh 19 thousand crores, which is 21.84 percent more than last year. This increase has been made amid the ever increasing threat from Pakistan and China. Last year, after Operation Sindoor, tension between the two neighbors reached its peak. Therefore, the government has laid emphasis on manufacturing indigenous weapons and purchasing modern military equipment.

What was the total increase in the defense budget? 

The total budget is Rs 7 lakh 85 thousand crores which is 15 percent more than last year. There was a jump of 28 percent in capital expenditure and it became Rs 2 lakh 31 thousand crores. A separate provision of Rs 2 lakh 19 thousand crore was made for modernization, which is 21.84 percent more than last year.

What are the main provisions in capital expenditure? 

The capital budget will be used to purchase and develop new weapon systems. Indigenous defense production will get a big boost. Rs 63 thousand 733 crore have been kept separately for aircraft and aero engines. The focus is on increasing the strength of the Army, Navy and Air Force. Rafale fighter aircraft, new submarine drones and other big projects will be completed rapidly.

What is the reason for this increase? 

The biggest reason is the constant threat from Pakistan and China. After Operation Sindoor, the situation on the border became more tense. In view of the increasing challenges in the region, emphasis is being laid on making domestic weapons under Self-reliant India. Defense exports are targeted to reach $5.5 billion by 2029.

What is the condition of pension and revenue expenditure? 

There is a provision of Rs 1 lakh 71 thousand crore on pension, which is 6.53 percent more than last year. Revenue expenditure has increased by 17.24 percent. This amount is for the salary of soldiers, daily operation and maintenance. Overall, attention has been paid to both the care of soldiers and war preparedness.

What will be the benefit of this budget? 

The pace of military modernization will be very fast. Indigenous defense companies will become stronger. Security on the border and ability to stop the enemy will increase. There was a rise in the defense related stock market. The national security of the country will become stronger than before and a clear message will be sent to the neighbors that India is ready.