BUDGET
FY26 defence expenditure pegged at INR 4.92 tln, up 7.7% on year
This story was originally published at 16:41 IST on 1 February 2025
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MUMBAI/NEW DELHI – The Budget on Saturday projected an outlay of INR 4.92 trillion for defence expenditure in 2025-26 (Apr-Mar), up 7.7% from the revised estimate of INR 4.57 trillion for FY25. Of the total outlay, INR 3.12 trillion will be used for revenue expenditure and INR 1.80 trillion for capital expenditure.
The defence outlay accounts for 1.4% of GDP in FY26, unchanged from the current financial year.
The revised outlay for defence spending in FY25 is marginally higher than the Budget estimate of INR 4.55 trillion.
As per Budget documents, total defence spending in FY26, including civilian and pension expenditure, will be INR 6.81 trillion, up 6.3% from the revised estimate of INR 6.41 trillion for FY25. End
Reported by Priyasmita Dutta and Srijita Bose
Edited by Saji George Titus
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