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Dear Mr Jaitley, Please Allocate 2% of GDP for the Defence Budget

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by Gurmeet Kanwal

As the army continues to be deployed in large numbers on border management and internal security duties, lack of progress in the replacement of its obsolete weapons and equipment is particularly worrisome. The situation is alarming when one takes into account unspent funds.

At the end of the third quarter of the Financial Year (FY) 2015-16, 40 percent (Rs 37,000 crore out of Rs 93,675 crore) of the capital budget of the armed forces remained unspent. Since it will not be possible to spend all of the remaining funds in the January-March 2016 quarter, approximately Rs 15,000 to Rs 20,000 crore (15 to 20 percent) may be returned unspent.

During the previous FY 2014-15, 22 percent of the Rs 80,545 crore, an amount that was initially provided for the capital budget had remained unspent.

(Infographic: Hardeep Singh/ The Quint)

Unspent Funds

The funds allotted for defence expenditure for FY 2015-16 were insufficient to prepare the armed forces to meet with the growing threats and challenges facing the country. The Indian Army does need a boost through military modernisation and acquire capabilities required to discharge India’s increasing responsibilities as a regional power.

In a letter to Prime Minister Manmohan Singh in March 2012, Gen VK Singh, now MoS, External Affairs, had pointed out the ‘critical hollowness’ in defence preparedness.

Ever since the Kargil conflict in 1999, when 50,000 rounds of Bofors medium artillery ammunition had to be imported in a hurry from South Africa, the ammunition holdings of the Army have been reported to be too low to fight and win a sustained war.

Many other deficiencies in the holdings of important weapons and equipment need to be made up. This has been pointed out repeatedly by the Comptroller and Auditor General as well.



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