By The Sampadak Express
The Narendra Modi-led government is poised to approve the acquisition of 26 Rafale-Maritime strike fighters this month, marking a continued surge in capital expenditure on defense modernization. In the fiscal year 2024-25, the NDA government allocated over ₹2 lakh crore for defense spending, reinforcing its commitment to enhancing India’s military capabilities.
The ₹7.6 billion deal for the Rafale-M fighters is expected to be presented to the Cabinet Committee on Security (CCS) later this month for final approval. These advanced fighter jets will play a crucial role in strengthening the Indian Navy’s operational capacity at sea, particularly aboard the country’s two aircraft carriers. Alongside this, the government is also planning to approve the procurement of three additional diesel-electric submarines, which will further enhance India’s deterrence capabilities in the Indian Ocean Region (IOR).
In the 2024-2025 fiscal year, the Ministry of Defence signed 193 contracts worth ₹209,059.85 crore, a significant rise compared to 192 contracts valued at ₹104,855.92 crore in 2023-2024. Since the Modi government assumed office in 2014, the ministry has signed a total of 1,096 contracts, amounting to nearly ₹10 lakh crore (₹946,225.48 crore).
Capital expenditure on defense reached an all-time high in 2024-2025, with no funds surrendered for the first time in four years. This is in stark contrast to previous years when funds were unspent, with ₹205 crore surrendered in 2020-2021, ₹863 crore in 2021-2022, ₹7,055.99 crore in 2022-2023, and ₹2,971.97 crore in 2023-2024. The government’s substantial allocation reflects its urgent focus on military capacity building.
As India faces heightened security challenges, particularly from its neighbors, including China’s ongoing border infrastructure upgrades along the 3,488 km Line of Actual Control (LAC), the Modi government is prioritizing defense preparedness. The ongoing political and economic instability in the Indian subcontinent has further reinforced this need for enhanced military strength, with a focus on achieving ‘Aatmanirbhar Bharat’ (Self-Reliant India) in defense manufacturing.
Key officials have been tasked with overseeing indigenous defense projects, with an emphasis on improving timelines and accountability within Defense PSUs like HAL (Hindustan Aeronautics Limited) and BEL (Bharat Electronics Limited). The DRDO (Defence Research and Development Organisation) has also been directed to expedite the testing of new defense technologies, acknowledging the need for swift adaptation in the face of global instability.
