Published 16:22 IST, January 12th 2021
Defence budget 2021 to see unprecedented hike reflecting 5-year modernization plan
Defence budget 2021 is set to reflect a modernisation plan of Armed Forces for the next 5 years, likely to attract the highest ever hike in the upcoming budget
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Defence budget 2021 is set to reflect modernisation plan of Armed Forces for next 5 years which is likely to attract highest ever hike in upcoming budget for sector and a 2-year roll-on acquisition plan is also being me. Indian Defence forces are moving ahe with pace to become 'Atmnirbhar' with minimum dependence on foreign weapons, equipment and techlogy. In order to achieve self-reliance, Defence budget can be hiked to reach 6 lakh crore figure.
Chief of Army Staff General MM Narawane said on Tuesday that, "We h got biggest chunk of national budget that was,15 per cent of national budget last year but this year situation being more demanding due to ongoing tensions with China along LAC, we expect to get a higher budget this year."
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General Narawane also emphasized on need for techlogical vancements that require a high budget. In view of challenge of China People's Liberation Army in Lakh and continued treachery of Pakistan along Line of Control, a long-term outline of military preparations is being prepared in Ministry of Defense's Military Department. After creation of post of Chief of Defense, defence budget of this time will be allocated on basis of joint modernization romap of three armies.
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According to defence sources, in view of ongoing tension along border, re may be an unprecedented increase in budget for situation of war on two fronts. Chief of Defense Staff has been supervising a 5-year Safeguard Modernization Plan. t only this, a two-year annual roll-on plan is also being me under Integrated Capability Development Plan to make arrangements to counter enemy in capacity of three armies.
Talks are going on with Finance Ministry to create a Defense Modernization Fund which gets carried out to next year in case it is t spent without getting lapse. Ministry has emphasized that military procurement and construction of infrastructure facilities such as ros and bridges etc. goes on for a long time, so it is t possible to spend budget in a year.
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re have been indications that t only will budget be arranged for expenditure in defence sector for one year but also according to estimate of next five years in budget. It is estimated that this time re will be an unprecedented increase in defence budget, giving a strong mess to China.
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A provision of Rs 4,71,000 crore was me in defence budget for year 2020-21, but in this,Rs 1,33,000 was only for pension. So re was only Rs 3,23,000 crore left for defence expenditure. re was also a provision of about Rs 1,00,000 crore for defence modernization.
Ministry has sound reasons for more defence budget this time. target is to complete work of integration of three armies in next 3 years. For this, se three new commands have to be created:
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1.Defense ncy
2.Defense Cyber ncy
3.Military Forces Special Operations Division.
Two or commands whose blueprints are being prepared by involving three armies are:
1.-Air Defense Command
2. -Sea Command
Defense Ministry is also continuously working on reducing its pension budget which has increased from Rs 1,17,000 crore to 1,33,000 crore. Initiatives have been taken to increase of retirement of soldiers. According to defence sources, work is also underway on a scheme for officers of Short Service Commission so that expenditure of pension on this he can also be eliminated.
However, India's defence budget remains where compared to China. China has a defence budget of about $ 45 billion which is five times more than India's defence budget. Officially China's defence budget was said to be 167 billion dollars, but according to an estimate by International Institute of Strategic Affairs, Sipri, Chinese budget is more than 254 billion dollars.
Two major steps are also being taken for in-house resources of defence forces. A Defense Renewal Fund will be created in which funds will be raised from monetization of defence sector land. Secondly, Rs 40,000 crore will be raised in next 8 years through National Building Construction Corporation Limited on lines of self-financing to build 80 thousand houses of soldiers.
Apart from this, Ministry of Defense has leased land from governments in many states and state governments require land for ros and or facilities.
se plans will be instrumental in strengning defence forces with spirit of 'Atmnirbhar Bharat' .
16:22 IST, January 12th 2021