1 lakh crore by 18.43 percent as compared to FY 2022-23 and 4.79 percent more vis-à-vis FY 2023-24. Break-up of Budget: capital outlay 27.66 percent, expenditure on the revenue count for maintenance and to be operationally effective 14.82 percent, pay and allowances 30.66 percent, defence pensions 22.70 percent, civil organizations under MDoD 4.17 percent.
More importantly, just outside of this would be the Union's Budgetary Estimates of about 12.9 per cent of the total. More particularly, the FY 2024-25 capital budget itself at ₹1.72 lakh crore is higher by 20.33% over the actual expenditure last year and 9.40% over this year's Revised Estimate of allocation.
Out of the Ministries, Ministry of Defence got the maximum allocation of Rs 6.22 lakh crore in the Union Budget for 2024-25. It would strengthen self-reliance in respect to defence technology and manufacturing, modernize the armed forces with war-fighting equipment and platforms, and it will also generate new employment opportunities for the youth.
He increased the funds under the ADITI – Acing Development of Innovative Technologies with i(Indian) Defence under Make 2.0 scheme, under which the Defence Ministry collaborates with start-ups, MSMEs and innovators in developing frontline cutting-edge indigenous defence technologies, from that allocated in the Interim Budget by another 400 crores.
The ADITI scheme provides for the grant of 50% of the Product Development Budget, up to a maximum of Rs. 25 crore per applicant. Against this, the Budget Outlay for FY 2024-25 for the MoD thus presents an increase of nearly Rs. 1 lakh crore by 18.43 percent compared to FY 2022-23 and is 4.79 percent more vis-à-vis FY 2023-24. Budget Break-up: capital outlay 27.66 percent, expenditure on the revenue count for maintenance and to be operationally effective 14.82 percent, pay and allowances 30.66 percent, defence pension 22.70 percent, civil organizations under MDoD 4.17 percent.
More importantly, just outside of this would be the Union's Budgetary Estimates of about 12.9 per cent of the total. More particularly, the capital budget for FY 2024-25 alone at ₹1.72 lakh crore is higher by 20.33 percent over the actual expenditure last year and 9.40 percent over this year's Revised Estimate of allocation.
This enhanced budget is proposed to fill these critical gaps with huge buys in the current and next fiscal years, most of which have an allocation for procurement of advanced technologies, sophisticated arms, and fighter aircraft; naval ships, submarines, unmanned aerial vehicles, drones, special-purpose vehicles.
Further, if procurement from domestic industries during FY 2025 contributes 75 percent to the modernization budget, itself pegged at Rs 1.06 lakh crores, this will further put an additional burden on GDP, job creation, and capital formation within the economy.
Indian Coast Guard: Allocation of Rs 7,651.80 crore has been provided in the Budget for FY 2024–25. This is an increase of about 6.31 percent over the previous year's BE. Of this, Rs 3,500 crore is kept for capital expenditure.
He termed the budget as an exemplary one. The Defence Minister, Rajnath Singh, said it would definitely lead India further ahead toward a bright, self-reliant 'Viksit Bharat'. A vision attributed to Prime Minister Narendra Modi, Singh said the budget would fast-track economic transformation while the objective for India was well laid out for a $5 trillion economy by 2027. An increased capital outlay of Rs 1.72 lakh crore will make many times more improvement in defence capabilities, he said while claiming that procurement worth Rs 1.05 lakh crore from within will boost self-reliance in the Defence sector.
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