Indian Defence budget pegged at Rs.89,000 cr, up b

[Bull]

Defence budget pegged at Rs.89,000 cr, up by 7.2 percent
New Delhi | February 28, 2006 1:15:12 PM IST


India Tuesday announced an increase of 7.2 percent in its defence budget, allocating a whopping Rs.89,000 crore (Rs.890 billion, $20 billion) for the fiscal year 2006-07.
Of this, Rs.37,458 crore (Rs.374.6 billion) - or 42 percent of the total outlay - has been earmarked for new arms purchases.

Finance Minister P. Chidambaram told parliament he was increasing the allocation for defence from Rs.83,000 crore (Rs.830 billion) in the current fiscal in view of the enhanced expenditure on the modernisation of the armed forces.

India is in the market for a wide array of sophisticated hardware, including 126 combat jets and 80 helicopters, to modernise the ageing military arsenal, and some deals are expected to be finalised in the next fiscal.

 

[Sid]

Which brings us all back to the point of this triangle consisting of China, India and Pakistan.

Pakistan cannot match India in terms of the budgetary allocations to defense and India cannot match China.

Pakistan's defense budget is around $4b at most which might go up to $5b the next fiscal year. China's estimated budget is around $80b by even the most conservative methods (no body trusts its official version of a $40b defense allocation).

 

[Bull]

Originally posted by Sid@Mar 1 2006, 02:03 AM
Which brings us all back to the point of this triangle consisting of China, India and Pakistan.

Pakistan cannot match India in terms of the budgetary allocations to defense and India cannot match China.

Pakistan's defense budget is around $4b at most which might go up to $5b the next fiscal year. China's estimated budget is around $80b by even the most conservative methods (no body trusts its official version of a $40b defense allocation).

[post=6411]Quoted post[/post]​

spending $ 60- 80Bn a year shud have helped them in having one of the worlds most sophisticated forces.The fcat if i believe is true is that most of it goes in overheads.

 

[Sid]

It used to be directed more towards the overheads but that is changing. PLA has been reducing its manpower while gearing towards a more agile and mobile force.

Nowadays, more funds are directed towards true R & D and reverse engineering than even buying newer equipment from abroad. That will yield long-term benefits for the Chinese forces.

 

[Zeeshan S.]

The money is going for research and development is necessary to keep building the armed forces and looking at it for the future since the ban of selling equipment to Chinese armed forces is still up. Nonetheless, Chinese were able to acquire assistance from the European countries (Not as a whole, but the companies specifically) as they are willing to do anything for money especially the French.