Defence Budget

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  • An enigma called defence technology fund

    An enigma called defence technology fund

    There has been much speculation since 2011 about who is going to manage the proposed fund, how is it to be different from the already existing technology related heads in the defence budget, and how will the amount set aside for the purpose be utilized.

    August 27, 2014

    Rejig of Defence Budget 2014-15?

    Rejig of Defence Budget 2014-15?

    If reports about the diversion of INR 13,000 crore from the capital segment of the defence budget to the revenue heads are true, it is an indication of the growing strain on the revenue budget.

    January 23, 2015

    Impact of the Recommendations of the Standing Committee on Defence (15th Lok Sabha) on the Defence Budget

    The examination of the detailed demands for grant (DDGs) of the Ministry of Defence (MoD) by the Standing Committee on Defence of the 14th Lok Sabha (2004–05 to 2008–09) and recommendations made by the committee had little impact on the country’s defence budget. While the examination was generally perfunctory, the recommendations were either too general or too impractical to be implemented by MoD. This is the second of two articles that examines how the Standing Committee on Defence of the 15th Lok Sabha (2009–10 to 2013–14) followed the same pattern.

    January 2015

    Impact of the Recommendations of the Standing Committee on Defence (14th Lok Sabha) on the Defence Budget

    In the run-up to the voting on the budget, detailed demands for grant(DDGs) presented by various ministries to the Parliament are examinedby the departmentally-related standing committees. As Parliamentcannot possibly examine more than 100 DDGs presented to it everyyear, these committees are required to examine them in detail and reportback to the Parliament. One such committee is the Standing Committeeon Defence.

    October 2014

    Takeaways for Defence in the Union Budget 2014-15

    There are speculations whether the present budget is sufficient to meet expenditure on big ticket items but one has to bear in mind that it is only the advance payment – generally 15% of the contract value – that becomes payable on signing of a new contract. Even if new contracts are signed for say INR 50,000 crore, MoD will require just about INR 7,500 crore for those schemes.

    July 11, 2014

    Moving on with the Defence & Security of India

    Ministry of Defence which accounts for 13-14 per cent of the central government expenditure, if one also takes into account the expenditure on defence pensions, could come under some pressure to prepare an action plan as the outcome of what it does is often intangible, undisclosable, or simply unmeasurable. The author puts forward some suggestions.

    May 20, 2014

    China’s 2014 Defence Budget: An Assessment

    Following on Xi Jinping vision of ‘fight war, win war’, the Chinese military spending is shifting towards higher technology weapons and equipment and training and also illustrates its aim to institute reforms related to troop’s operational commands, organisation and training.

    April 21, 2014

    India’s Interim Defence Budget 2014-15: An Appraisal

    The 10 per cent growth in the interim defence budget although looks impressive from outside, it has a poor outlook on the modernisation front. Much of the hike in the interim budget is consumed by the increase in salary, leaving very little to meet the defence modernisation requirements.

    February 23, 2014

    What is choking the Indian defence budget?

    Projecting a demand which cannot be met is as pointless as allocating budget that is barely sufficient to sustain the armed forces and other departments of the MoD. The persistent neglect of this aspect of defence management is taking its toll not only on the stock of ammunition held by the armed forces, notably the Army, but also on serviceability levels of the equipment.

    February 14, 2014

    Run up to the Defence Budget 2014-15: Challenges to Modernisation

    It is commonly viewed that in an election year, the incumbent government is tempted to present a populist budget. In that scenario, the MoD would have reasons to be unhappy, particularly so when the modernisation requirement of the armed forces has reached a stage which is now contingent upon substantial additional resources to remain on course.

    February 04, 2014

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