Defence Budget

The transformation from the comforts of outlay budgeting to an environment of accountability with outcome budgeting is difficult but not impossible. This re-engineering is essential as in the absence of outcome budgeting, budget management may be ineffective and ineffective budget management would weaken the Public Financial Management (PFM) system. A weakened PFM could even threaten established economic, social and political equilibriums.

• Sanjeev Mishra
• April 2011
• Journal of Defence Studies

The Indian Navy (IN) has one Naval Dockyard (ND) each at Mumbai and Visakhapatnam and one Naval Ship Repair Yard (NSRY) each at Kochi, Port Blair and Karwar. The repair and refit requirements of IN ships and submarines are collectively met by the above mentioned repair agencies. NDs have the capacity and capability to handle Major Refits (MR). The Operational-cum-Refit cycle of each ship / class of ship is promulgated by IHQ MoD (N) from time to time.

• Gaurav Gautan , KA Sureshan
• April 2011
• Journal of Defence Studies

The defence budget for 2011-12 has not been unduly impacted by the fiscal consolidation process, and reflects the MoD’s ability to spend resources within the stipulated time.

• Laxman Kumar Behera
• March 07, 2011
• IDSA Comments

Ground reality rather than fiscal prudence should guide the Finance Minister while finalising the defence budget for 2011-12.

• Laxman Kumar Behera
• February 23, 2011
• IDSA Comments

While India’s latest defence budget has no doubt catered for a sizeable capital component, it may be prudent to reduce costs by switching to more affordable programmes.

• Ramesh Phadke
• May 07, 2010
• IDSA Comments

India's raised its defence budget for 2010-11 by 3.98 per cent to Rs. 1,47,377 crore. This allocation represents 2.12 per cent of gross domestic product (GDP), which is below the global average of 2.5 per cent. Considering the void in defence preparedness and the rising military expenditure and capability in neighbourhood, India needs to increase its defence spending to around 2.5-3.0 per cent of GDP. However, the increase in allocation has to go with reforms in capital acquisition system, which in present form is unable to spend the allocated resources.

• Laxman Kumar Behera
• April 2010
• Journal of Defence Studies

The Indian armed forces appear to be driving defence budgets rather than a cold calculation of the country’s desire for ‘adequate’ military capability.

• Ramesh Phadke
• March 30, 2010
• IDSA Comments

Adequacy or inadequacy of defence allocation largely lies in the manner it is spent keeping in view the defence requirements for meeting operational and strategic goals and to have the needed defence preparedness to deal with threats.

• Narinder Gupta
• March 18, 2010
• IDSA Comments

Given that allocations for revenue expenditure are likely to become lesser in coming years, defence managers need to initiate immediate measures to control the rising revenue expenditure.

• Arvind Kadyan
• March 03, 2010
• IDSA Comments

If the Finance Ministry’s emphasis on fiscal prudence and inclusive growth has resulted in a smaller increase in the latest defence budget, the Report of the Thirteenth Finance Commission does not paint a very optimistic scenario for India’s future defence spending.

• Laxman Kumar Behera
• March 03, 2010
• IDSA Comments