India Defence Budget Analysis 2006-07
Defence spending is one of the largest line items in India's budget, covering military salaries, equipment procurement, and modernisation. The balance between revenue (operational) and capital (acquisition) expenditure reveals defence preparedness strategy.
Defence Spending — 2006-07
96,000 crore
Rs 96,000 crore
Previous Year (2005-06)
85,000 crore
Year-over-Year Change
+12.9%
Defence Spending — 5-Year Trend
| Year | Defence Budget | Revenue (Operational) | Capital (Acquisition) |
|---|---|---|---|
| 2002-03 | Rs 63,600 crore | Rs 46,200 crore | Rs 17,400 crore |
| 2003-04 | Rs 73,000 crore | Rs 52,600 crore | Rs 20,400 crore |
| 2004-05 | Rs 77,900 crore | Rs 56,400 crore | Rs 21,500 crore |
| 2005-06 | Rs 85,000 crore | Rs 56,000 crore | Rs 29,000 crore |
| 2006-07 | Rs 96,000 crore | Rs 63,000 crore | Rs 33,000 crore |
Source: Union Budget Documents, Ministry of Finance. Figures may include BE/RE/Actuals depending on availability.
Budget Snapshot — 2006-07
Total Expenditure
5.83 lakh crore
Total Receipts
5.9 lakh crore
Capital Expenditure
68,778 crore
Tax Revenue
3.51 lakh crore
Fiscal Deficit
3.3% of GDP
Interest Payments
1.5 lakh crore