Defence Budget 2024-25: Key Highlights

The Defense Budget Allocation in Overview

This year’s budget came with a myriad of changes, some for the better, others controversial, and still more completely unprecedented. Today we shall dwell on defense and look into what Capital Expenditure (CAPEX) tells us about the government’s narrative this year vis-a-vis its previous allocations.

We will begin by comparing this years’ budget allocation for defense against other sectors’ allocations.

Key Highlights of Defense Budget

Total Expenditure: ₹4.5 lakh crores

CAPEX: ₹1.71 lakh crores

Such substantial amount set aside points at commitment to beefing up India’s defence capabilities as it sets pace for tremendous growth.

Historical Shifts in Defence Allocation

To understand shifts in defense spending one needs look beyond last year; atleast seven to eight years back data is required for any meaningful analysis on broad trends or changes of emphasis which may reflect governments strategic thinking overtime. There are three main components within the sector namely:

• Airways
• Waterways
• Army
  

Organizing CAPEX according these segments helps us see how it has been distributed between them over time thus bringing out highlights of priority shifts.

Detailed Video

Key Trends and Insights

The data indicates that there has been a clear shift from airways towards waterways and army in recent times by Indian Government. Here are some key indicators for major reforms or reorientation points due to this shift;

Warships & Submarines: A monumental order worth ₹70,000 crores has been placed covering both water ways & army showing strong intent behind building naval power as well ground based force capability.

Border Roads: The allocation under border roads witnessed significant increase of 30% compared to previous year i.e., ₹6500 crores which is aimed at strengthening infrastructures critical for defence operations

Boosting Defence Exports: There are strategic plans to boost defence exports, this will not only enhance India’s global standing but also have positive impact on army & navy since production would focus more on these categories.

Decoding the Shifts

Looking deeper into data reveals that what used to be airways has now become waterways and army. This strategic reorientation reflects government response to changing security environment and threats perception as well international power play dynamics. Breaking them down helps us appreciate intricacies involved in such reallocations.

Conclusion

Analyzing defense sector along with budget allocations offers insights into how govt plans to improve country’s defense capabilities. Understanding strategic shifts and focusing areas are important because they represent hard work done so far as well decision making process that shape our national security policy. Share video if you found it useful.