Details of Budget Estimates (BE) and Expenditure incurred by Armed Forces under Capital Acquisition segment (Modernisation) of the Defence Services Estimates since Financial Year 2014-15 are as under:
(Rs. In crore)
| Financial Year | Allocation & Release(Revised Estimates) | Actual Expenditure |
| 2014-15 | 66,151.73 | 65,862.38 |
| 2015-16 | 65,400.00 | 62,235.54 |
| 2016-17 | 62,719.36 | 69,396.69 |
| 2017-18 | 68,965.24 | 72,732.20 |
| 2018-19 | 73,882.95 | 75,892.85 |
| 2019-20 | 89,836.16 | 91,053.15 |
| 2020-21 | 1,14,320.30 | 1,18,966.44 |
| 2021-22 | 1,13,717.58 | 88,868.41* |
* Upto February,2022.
Modernisation involves the acquisition of new state-of-the-art platforms, technologies and weapon systems to upgrade and augment defence capabilities. Modernisation of Defence Forces is a continuous process based on threat perception, operational challenges and technological changes to keep the Armed Forces in a state of readiness to meet the entire spectrum of security challenges. This is achieved through induction of new equipment and technological upgradation of capabilities. The equipment requirements of the Armed Forces are planned and progressed through a detailed process which includes 15 Year Long Term Integrated Perspective Plan (LTIPP), a five-year Service-wise capability Acquisition Plan, a two-year roll-on Annual Acquisition Plan and deliberations by the Defence Acquisition Council. The modernisation projects are progressed as per the approved Capital Acquisition Plans and in terms of the extant Defence Acquisition Procedure.
Details of expenditure incurred on Indigenous Procurement of Defence Equipment by the three Services for modernisation from Financial Year 2014-15 to 2021-22 are as under:
(Rs. in crore)
| Year | Expenditure |
| 2014-15 | 39,879.00 |
| 2015-16 | 39,149.63 |
| 2016-17 | 41,872.03 |
| 2017-18 | 43,696.86 |
| 2018-19 | 38,963.68 |
| 2019-20 | 52,920.70 |
| 2020-21 | 76,073.98 |
| 2021-22 | 53,462.26* |
*upto February,2022
Since 2014 total amount of Rs 1,130.30 crore have been allocated to Universities/Indigenous firm/ MSMEs towards R&D in defence technology.
This information was given by Defence Minister Ajay Bhatt in a written reply to Dr Santanu Sen in Rajya Sabha on March 14, 2022.
