New Delhi, Feb. 2 -- The Union Budget 2026-27 has placed strong emphasis on defence indigenisation and domestic manufacturing, with the Ministry of Defence receiving a record allocation of Rs 7.85 lakh crore.

The enhanced outlay reflects the government's focus on strengthening indigenous capability while meeting evolving security requirements.

Major Boost for Domestic Defence Industry

The government has earmarked Rs 1.39 lakh crore or around 75 per cent of the capital acquisition budget for procurement from domestic industries, including private sector players.

Increased Allocation for Defence Research and Development

The Defence Research and Development Organisation (DRDO) has been allocated Rs 29,100.25 crore for FY 2026-27, up fro...