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SOURCE: AFI

The Defence Research and Development Organisation (DRDO) has received a significant boost in its budget allocation for the financial year 2025-26. The Government of India has allocated ?26,816.82 crore to DRDO, reflecting a 12.41% increase from the previous fiscal year’s allocation of ?23,855.61 crore. This increase underscores the government’s commitment to strengthening indigenous defense research and development.

A substantial portion of the allocated budget, amounting to ?14,923.82 crore, has been earmarked for capital expenditure and research & development (R&D). This increase is expected to drive the development of cutting-edge defense technologies and enhance collaboration with the private sector, fostering a self-reliant defense ecosystem.

Implications for Capital Expenditure and R&D:

  • Capital Expenditure: The increase in capital expenditure is a clear indicator of the government’s intent to modernize defense infrastructure. This includes investments in state-of-the-art facilities, equipment, and technology that will underpin the development of next-generation military hardware.
  • Research and Development: With nearly half of the budget dedicated to R&D, there’s a strong push towards innovation. This part of the budget will fund various projects, from basic research to applied technologies that can be directly integrated into defense systems. The focus areas include missile technology, electronic warfare, advanced materials, and cyber security, among others.

While the increased budget is a step forward, challenges remain. These include effectively utilizing funds, ensuring transparency, and speeding up project timelines. The expectations are high for DRDO to deliver innovations that can meet and exceed current military needs, ensuring India’s strategic autonomy in defence technology.

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