New Delhi: The government informed Parliament on Friday that the entire capital outlay for defence services will increase from Rs 80,959.08 crore in the current fiscal year to Rs 1,32,301.27 crore in the following fiscal year, 2023-24. This is "no meagre allocation" of resources for defence modernization. In response to a question in Lok Sabha, Ajay Bhatt, minister of state for defence, made this statement. Information on the "projected and allocated funds under Capital Acquisition (Modernisation Budget) in BE 2023-24" was provided by the ministry. In response, he said, "There is no meagre allocation of resources for defence modernisation, and allocation for modernisation under total Capital Outlay for defence services has increased from Rs 80,959.08 crore in FY 2019-20 to Rs 1,32,301.27 crore in FY 2023-24."
The provided resources are used effectively to carry out the designated goals. He also explained that the schemes are reprioritized as needed to guarantee the acquisition of urgent and important capabilities without jeopardising the operational readiness of the defence forces.
The minister also mentioned that for the upcoming fiscal year 2023-24, funds have been allotted in the ratio of 75:25, with 75% (Rs 99,223.03 crore) for domestic procurement and 25% (Rs 33,078.24 crore) for foreign procurement to encourage indigenous industry to contribute to defence modernization.—Inputs from Agncies