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A big boost to Indian defence, Rs 79,000-crore Army, Navy, Air Force proposals cleared

Published on 23/10/2025 07:02 PM

The Defence Acquisition Council (DAC) -- the defence ministry's top decision-making body for formulating policy and approving capital acquisitions for the Armed Forces -- on Thursday cleared a host of proposals for the Indian Army, the Indian Navy and the Indian Air Force (IAF). The proposals cleared by the body -- headed by Defence Minister Rajnath Singh -- are learned to be worth around Rs 79,000 crore.

Here's a summary of key purchases covered under the clearance:

For the Army:

For the Navy:

For the Air Force:

The Defence Acquisition Council is the national body, functioning under the Ministry of Defence, that performs a host of defence-critical tasks, including policy formulation and capital acquisition. The body gives nod to new procurement proposals, categorises acquisitions into 'buy', 'buy & make' and 'make' segments while overseeing long-term integrated defence planning.

The DAC's approvals are in line with the central government's broader vision of transforming the country into a major global defence manufacturer, securing a pivotal place in the global defence supply chain.​ The Centre has reiterated its commtment to prioritising the domestic defence sector as strategic for national security and economic growth, with a clear vision to build self-reliance and reduce dependence on imports.

In the Budget 2025-26, the finance minister earmarked Rs 6.81 lakh crore for the defence ministry, highlighting a strong focus on capital procurement. That marked a 9.5 per cent increase over the previous year's estimate, and accounted for 13.5 per cent of the total Budget spending.

The annual allocation comprised Rs 1.8 lakh crore for capital outlay on defence services, Rs 3.12 lakh crore for revenue expenditure (including pay and allowances), Rs 1.61 crore for defence pensions and Rs 28,683 crore for civil organisations. The 2025 Budget focused on modernising the Armed Forces and enhancing indigenous defence production, with a focus on capex for the procurement of advanced equipment and technologies, and higher allocation for the Defence Research and Development Organisation (DRDO).