Defence gets Rs 2,03,672 crore

Amidst its modernisation drive, the Defence Ministry today got Rs 2,03,672 crore for 2013-14, marking a hike of about 14 per cent over last year's revised allocation with Finance Minister P Chidambaram promising more funds required for national security.
The allocation is up by Rs 25,169 crore from last year's revised estimate of Rs 1,78,503 crore.
The budget estimate last year was Rs 1,93,407 crore but it was slashed by Rs 14,904 crore later by the Finance Ministry owing to the strain on the economy.
In terms of comparison between the budget estimates of the financial year 2012-13 and 2013-14, the hike is 5.31 per cent.

The budgetary allocation this year marks a reduction in GDP ration from 1.90 last year to 1.79 per cent.
"I propose to increase the allocation for defence to Rs 2,03,672 crore. This will include Rs 86,741 crore for capital expenditure," Chidambaram said while presenting the Budget in the Lok Sabha.

"The Defence Minister has been most understanding and I assure him and the House that constraints will not come in way of providing any additional requirement for the security of the nation," he said.
The allocation is about Rs 50,000 crore less than the ministry's demand but Defence Minister A K Antony was satisfied.

"Factoring the current economic scenario, he (Chidambaram) has been fair to the Defence sector also by increasing the budget and giving an assurance that should there be any urgent need in future the same would be provided," Antony told reporters.
The Defence Ministry is in a major modernisation process with several acquisitions in the pipeline besides upgradation of infrastructure in the northeast along with China border.
Among the major acquisitions in the offing are the 126 multirole combat aircraft, 22 Apache attack choppers and 15 heavy-lift choppers.