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India Defense Budget 2024: ₹6.21 Lakh Crore Allocated; Minister Rajnath Singh Reacts

Finance Minister Nirmala Sitharaman revealed as she unveiled the Union Budget 2024 on Tuesday that India has allocated ₹6,21,940 crore for defense spending in the Union Budget 2024–25, an increase over the ₹5.94 lakh crore spent the previous year. The defense industry received ₹6,21,541 billion lakh crore in the Interim Budget 2024. The allocation for the fiscal year 2023–24 was 4.72% more than the previous year.

A capital outlay of ₹1,72,000 crore has been estimated. For the fiscal year 2024–2025, the government of India has allocated 12.9% of its total budget to the defense sector. The defense minister, Rajnath Singh, expressed gratitude to Nirmala Sitharaman for providing the “highest allocation”—that is, 12.9% of the entire budget for the fiscal year 2024–25—in a statement on X, formerly Twitter.

“The Armed Forces’ capabilities would be significantly strengthened by the ₹1,72,000 Crore capital spend. The allocation of Rs. 1,05,518.43 crore for the purchase of domestic capital will strengthen Atmanibharta. I’m happy that Border Roads received a 30% boost in funding under the capital item compared to the previous budget. The BRO’s ₹6,500 Crore allocation would expedite the development of our border infrastructure.

“₹518 crore has been allocated to the iDEX scheme to fund technological solutions given by startups, MSMEs, and innovators, with the aim of bolstering the startup ecosystem in the Defence Industries,” announced Rajnath Singh on social media. The budget allocated for defense year 2023–24 was ₹5,93,537.64 lakh crore, indicating a roughly ₹68,834 crore increase. It was 5,25,166 crore in 2022–2023 paisa.

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According to a ministry statement, of the allotment this year, 27.67% goes to capital, 14.82 percent is for revenue expenditure on sustenance and operational readiness, 30.68 percent is for pay and allowances, 22.72 percent is for defense pensions, and 4.11 percent is for civil organizations under the ministry of defense. New weaponry, systems, and equipment are added with the help of the capital budget.