India's defense budget hits record high, surpasses all previous spending

India Feb 05, 2026

India just announced its biggest-ever defense budget—₹7.85 lakh crore for 2026-27, up 15% from last year and now the largest chunk of government spending.
That's almost triple what it was in 2013-14 (when it was ₹2.53tn).

Focus on homegrown tech and boosting local industry

This boost isn't just about bigger numbers—it means more investment in homegrown tech like fighter jets, drones, and ships, with 75% of new buys going to Indian companies under Aatmanirbhar Bharat.
There's also extra funding for research (hello, DRDO) and border infrastructure.
The goal: modernize the military, cut imports, create jobs, and keep India safer—all while building up local industry.
As Defense Minister Rajnath Singh put it, this is about "strengthens the security-development-self-reliance balance."