The proposed financial boost is largely attributed to the outcomes of Operation Sindoor, a precision military initiative launched on May 7, 2025. This operation was a strategic response to the Pahalgam terror attack on April 22, which resulted in the deaths of 26 civilians, predominantly Hindu tourists. Operation Sindoor targeted nine locations across Pakistan and Pakistan-occupied Kashmir, focusing on dismantling terror infrastructure linked to groups such as Jaish-e-Mohammed and Lashkar-e-Taiba. The Indian government described the strikes as "focused, measured, and non-escalatory," emphasizing that no Pakistani military facilities were targeted.
The execution of Operation Sindoor showcased the efficacy of India's integrated air defence systems. Notably, the indigenous Akash missile system played a pivotal role in neutralizing aerial threats, including drones and missiles launched by Pakistan. The operation also involved the deployment of advanced weaponry, such as the Rafale aircraft equipped with SCALP missiles and AASM Hammer glide bombs, as well as BrahMos cruise missiles and SkyStriker loitering munitions. These assets collectively contributed to the operation's success without necessitating Indian aircraft to enter Pakistani airspace.
The supplementary budget, expected to be tabled during the Winter Session of Parliament, aims to bolster various facets of India's defence capabilities. Key areas of focus include research and development, procurement of advanced weaponry, replenishment of ammunition stocks, and acquisition of state-of-the-art military hardware. The additional funds are also anticipated to support the development and deployment of indigenous defence technologies, aligning with the government's push for self-reliance in the defence sector.
Since the commencement of Prime Minister Narendra Modi's tenure in 2014, India's defence budget has witnessed a substantial increase. From an allocation of ₹2.29 lakh crore in 2014–15, the budget has nearly tripled, reaching ₹6.81 lakh crore in the 2025–26 Union Budget presented on February 1. This figure represents 13.45% of the total national budget, underscoring the government's prioritization of national security and military modernization.
The proposed budgetary enhancement also reflects India's strategic emphasis on indigenization of defence production. The Defence Ministry has been actively promoting the domestic manufacturing of military equipment, with initiatives aimed at reducing dependency on foreign imports. In fiscal year 2023–24, India's defence output value increased to approximately ₹1.27 lakh crore, marking the highest-ever rise. The government's target is to achieve domestic manufacturing of defence equipment valued at ₹3 lakh crore by 2029.
In addition to bolstering conventional military capabilities, the supplementary budget is expected to fund the development of advanced technologies, such as the Bhargavastra anti-drone system. This low-cost counter-drone weapon, operating in 'hard kill' mode, employs micro-rockets to neutralize aerial threats. The system underwent successful trials at the Seaward Firing Range in Gopalpur, Odisha, earlier this month, with officials confirming that all test objectives were met.
The proposed financial augmentation comes amid ongoing tensions with Pakistan, despite a ceasefire agreement reached last week. The ceasefire, initially set to last until May 18, was extended following bilateral talks between the Directors General of Military Operations of both countries. However, reports indicate that Pakistan violated the agreement within hours of its implementation, highlighting the fragile nature of the truce.