The 15th Finance Commission on Friday said it will consider suggestions to increase the overall capital space of the Ministry of Defence and thus help it enhance the country's defence preparedness.
A meeting in this regard was held between the commission's chairman N K Singh and Defence Minister Rajnath Singh here, an official release said.
In July, a notification was brought out by the Ministry of Finance following an order made by the President of India.
By this order, the Terms of Reference (ToR) of the commission was amended.
As per the revised ToR, "The Commission shall also examine whether a separate mechanism for funding of defence and internal security ought to be set up, and if so, how such a mechanism could be operationalised."
"The Commission assured the Ministry of Defence that it would take into consideration all the suggestions made that would help to increase the overall capital space of the Ministry, bring about predictability and help the Ministry in its defence preparedness," the release said.
"The Commission assured the Ministry of Defence that it would take into consideration all the suggestions made that would help to increase the overall capital space of the Ministry, bring about predictability and help the Ministry in its defence preparedness," the release said.
The commission was also informed that the defence ministry was exploring a number of alternative sources of funding, it added.
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