New Delhi: Prime Minister Narendra Modi on Sunday said that in view of the waffly global circumstances, comprehensive modernization of India's defense sector is very important. He said that it is the responsibility of the government to strengthen the armed forces as per the current needs, which is unmistakably indicated by the increase in defense expenditure in Upkeep 2026.
In an interview given to news organ PTI, PM Modi said that this year's upkeep shows India's preparation to wilt a ripened nation. He said, "India has to be strong and prepared at all times and we are working in that direction. This upkeep is not a compulsion, but a sign of preparation and inspiration that India is ready to move forward."
How much has defense expenditure been increased in Upkeep 2026?
The government has made a big increase in defense expenditure in Upkeep 2026. The defense upkeep for the current financial year has been increased to Rs 7.85 lakh crore, an increase of well-nigh 15 percent from last year's Rs 6.81 lakh crore.
There has moreover been a major increase in defense wanted expenditure. This expenditure has increased by 28 percent to Rs 2.31 lakh crore, whereas last year it was Rs 1.80 lakh crore. The objective of this increase is to purchase modern weapons and strengthen ethnic defense production.
How will the Rafale fighter watercraft deal strengthen India's defense capability?
India signed a Rs 3.25 lakh crore try-on with France in January, under which 114 Rafale fighter watercraft will be purchased. This is one of the largest fighter watercraft deals in the history of the country.
Prime Minister Modi said that the government will take every necessary step to strengthen national security. He said that modernization of the Army is essential in the waffly geopolitical and security environment.
According to government data, India's total defense expenditure was Rs 2.94 lakh crore in 2015-16, which has increased to Rs 7.85 lakh crore in 2025-26. At the same time, wanted expenditure for defense modernization has moreover increased from Rs 83,614 crore to Rs 2.31 lakh crore.
What will be the impact on trade and MSMEs?
Prime Minister Modi said that due to India's strong manufacturing, service sector and MSME, the country is in a largest position to enter into Free Trade Agreements (FTA) with 38 countries. He said that these FTAs will help in opening new markets for MSMEs in sectors like textile, leather, chemical, handicraft, and gems.
Taking aim at the previous UPA government, PM Modi said that due to economic mismanagement at that time, India's global negotiating position was weak and many agreements remained incomplete.
Will it make India a ripened country?
Prime Minister Modi said that the private sector will play an important role in making India a ripened nation. He appealed to the industry not to worry only well-nigh profits, but to increase investment in research, supply chain, quality and innovation.
He said India's next economic leap will depend on massive private sector investment and global competition. Also, the gains from productivity should moreover be shared with the employees.
What is PM Modi's vision regarding Digital India and AI?
Prime Minister Modi described India as a global leader in the digital sector and said that platforms like UPI have given a new identity to the country. He said that India is creating a strong wiring for Artificial Intelligence (AI), in which computing topics and data centers are stuff expanded.
He said that this sector will create massive employment opportunities for the youth and requite a new direction to India's economy.
Prime Minister Modi reiterated that investor conviction has increased due to political stability and reforms and this will take India forward in the direction of rhadamanthine a ripened nation.
