The 37th report of the 17th Lok Sabha's standing committee on defence reveals that after five years of under-providing funding for capital expenditure (capex), the defence budget for 2023-24 (FY24) has this year allocated to the defence services capital the funding they projected as their requirement for the year.
In the current system of allocating funding, the Army, the Navy, and the Air Force separately work out their requirement for the year. These projections are sent by the Ministry of Defence (MoD) to the Ministry of Finance for allocation as part of Demand No. 21, which is the "capital outlay on defence services, procurement policy, and defence planning".
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