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| Edited By: Josy Joseph |Source: DNA |Updated: Mar 30, 2018, 02:34 AM IST
The defence budget, at Rs 1,47,344 crore, does not show any spectacular jump from last year. There’s just an 8% increase in allocation over the revised estimates of 2009-10.
However, the figures reflect the inability of the armed forces and the government to modernise the military even though funds were available for capital purchase.
In the coming financial year, out of every rupee that the government spends, 11 paisa will go to defence. This is one paisa less than the 2009-10 allocation. The military budget would be 2.13% of the projected GDP.
Even though the government is just spending 8.13% more on defence this fiscal, there is a significant jump in the capital outlay for new purchases, thanks to the over Rs5,000 crore that the military returned to the government, because it was unable to spend the money. This reflects the lack of speedy and transparent purchases, and the continuing trend in the military of returning a significant part of capital outlays.
In the proposed budget for the coming financial year, Rs60,000 crore is meant for capital purchases, while Rs87,344 crore is for salaries, maintenance, etc. “Needless to say, any additional requirement for the security of the nation will be provided for,” Pranab Mukherjee said.
In 2009-10, against its capital outlay of Rs54,824 crore, the three services were able to spend only Rs47,824 crore, because a deal for mid-air refuellers got cancelled at the last minute. There were delays in concluding other contracts too.
On the contrary, the revenue account expenses, meant for salaries, maintenance etc, went up from Rs86,879 crore for 2009-10 to Rs88,440 crore after the implementation of the sixth pay commission.
On the revenue side, expenses expected for the coming year are: army gets Rs57,326.99 crore, navy Rs9329.67 crore and air force Rs15,210.73 crore. The Defence Research and Development Organisation gets Rs5230.42 crore and the ordnance factories get Rs246.19 crore.
