Strategic Defense Surge: India's 2026 Budget Allocates Record ₹7.85 Trillion Amid Operational Priorities

The Union Budget 2026 marks a definitive strategic pivot with defense expenditure escalating to ₹7.85 lakh crore, reflecting a substantial year-on-year increase. This allocation underscores a concerted national security posture, with ₹2.19 lakh crore specifically earmarked for force modernization. The financial blueprint prioritizes critical capability enhancements for the Indian Air Force and Navy, signaling a focused intent to bolster aerial and maritime domains. Concurrently, Finance Minister Nirmala Sitharaman has instituted targeted customs duty exemptions on aircraft components and essential raw materials. This fiscal measure is analytically positioned to stimulate indigenous defense aerospace manufacturing, reducing import dependency and fostering a resilient industrial base. The budgetary emphasis aligns with broader operational imperatives, suggesting a calibrated response to evolving security architectures. This financial commitment not only funds immediate procurement but also strategically invests in long-term defense industrial self-reliance, representing a multi-layered approach to national security in a complex geopolitical landscape.