The new defence budget is being touted as being the first double digit jump in India’s defence expenditure in decades, ever since its steady decline from 2017. Second, in a notable shift, capital expenditure has outpaced the revenue budget, up more than 22%, reversing years of neglect. Before FY1987-88, they came under central government pensions and were not clubbed with the defence budget. Funds for the Defence Research and Development Organisation (DRDO) and a slew of research organisations have been increased; many have potential benefits for defence production. At issue here is the ‘guns vs butter’ lens through which the defence budget is viewed.

Source: The Hindu February 06, 2026 05:43 UTC