A comparative study on defence expenditure of ten top military nations -including US, UK, Russia, China, France and Germany besides India and Pakistan -has raised concern at India's growing expenditure on defence personnel which has adversely affected its operation and war preparedness.
The study was conducted by the Institute for Defence Studies and Analyses (IDSA) for the 7th Central Pay Commission (CPC) which has recently submitted its report to the government. The report has analysed strength of top militaries and their expenditure on personnel, operations and equipment procurement as proportion of total defence budget.
The reason, it says is because India is spending much more on personnel (salary and allowances) as a proportion of its total defence budget, directly affecting operation and maintenance expenditure. The expenditure on personnel (in India) has increased from 27% of the total defence bud get in 2007 to 41% in 2012 while that on operation and maintenance has decreased from 25% to 15% during the same period.
In comparison, the US spends only 26% of its total defence expenditure on personnel while keeping aside 37% for operations and maintenance. Its share in equipment purchase remains highest between 35% and 41%. China has earmarked almost equal share of funds towards expenditure on personnel, operations and equipment purchases and infrastructure construction.
Even Pakistan which spends 42% of its total defence expenditure on personnel has been spending 26% on operations and maintenance, a higher proportion than India.
In its comments on the findings of the IDSA, the pay panel has observed that the pattern of the defence expenditure brings to fore the need to balance the requirements of the defence forces with the availability of resources.
One of the arguments for the larger expenditure on personnel in India is the relative mix of the strength of the services that constitute the armed forces. The IDSA has reported that the share of the Army in the total personnel strength of the Indian armed forces is over 85% while those in the US and UK are 39% and 59% respectively , the pay panel noted, short of suggesting that policy-makers may shift focus to modernising the armed forces and spending more on operational capabilities rather than building huge contingents of boots on the ground.
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India spends more on military officials than US, UK, says IDSA - The Economic Times
america has outsourced a lot of services to private contractors. it reduces your direct expenses on personnel. the stats are misleading