Economy ails, so Defence Ministry won’t ask for more

Published: 26th June 2012 08:37 AM  |   Last Updated: 26th June 2012 08:37 AM   |  A+A-

In the wake of slow economic growth causing concern among policymakers, the Defence Ministry has put on hold its plan to seek an additional budget of about Rs 50,000 crore for the year 2012-13.

When the Finance Minister had announced the 2012-13 defence budget of Rs 1,93,000 crore, Defence Minister A K Antony had made it known that it was 15.5 per cent less than the estimated requirement of the services. Antony had said that as per projections, his ministry needed Rs 2,39,123 crore and will require an additional Rs 45,716 crore.

“The budget estimates were given in accordance with the assessment of the new emerging threat perception from neighbouring countries and the forces required it to meet them. However, with the other ministries facing cut, the defence ministry has also put the proposal of its demand in cold storage,” sources said.

Given the emerging threat scenario around India, the Armed Forces — Army, Navy and Air Force — have been undergoing heavy modernisation in recent years. A reflection of this is that unlike about a decade of lost modernisation when its sluggish acquisition processes resulted in unspent defence budgets year after year, the Ministry has managed to spend the defence budget for the second consecutive year in 2011-12. The Ministry had sought an additional budget of over Rs 3,000 crore.

For 2012-13, Antony had said: “Because of the changing threat perception, our Armed Forces need more aircraft, warships, tanks, helicopters, and so on. All these things need more money.”

Stay up to date on all the latest Tamil Nadu news with The New Indian Express App. Download now
(Get the news that matters from New Indian Express on WhatsApp. Click this link and hit 'Click to Subscribe'. Follow the instructions after that.)

Comments

Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the newindianexpress.com editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on newindianexpress.com are those of the comment writers alone. They do not represent the views or opinions of newindianexpress.com or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. newindianexpress.com reserves the right to take any or all comments down at any time.

flipboard facebook twitter whatsapp