Delhi has approved approximately US$40 billion worth of long-term defence procurements, including the purchase of 114 Dassault Rafale fighter jets, six Boeing P-8I maritime patrol aircraft and an overhaul of T-72 tanks and BMP-2 armoured vehicles.
India’s Defence Acquisition Council (DAC), headed by Defence Minister Rajnath Singh, gave the green light for this slew of defence procurements on 12 February. Their acceptance of necessity by the DAC signals formal commencement of these acquisition programmes.
The largest of these tri-service procurements is the Indian Air Force’s (IAF) Multirole Fighter Aircraft (MRFA) requirement, which will be met with Dassault’s Rafale. The IAF already operates 36 of the type, and it will acquire a further 114 examples.
A significant number of these aircraft will be produced under license in India by a local partner. “The procurement of MRFA will enhance the capability of undertaking air dominance roles across the spectrum of conflict, and significantly boost the deterrence capabilities of the IAF with long-range offensive strikes,” a Ministry of Defence (MoD) spokesperson stated.
The IAF also received government approval to induct an airship-based high-altitude pseudo-satellite to be utilised to undertake persistent intelligence, surveillance and reconnaissance, electronic intelligence, military telecommunication and remote-sensing tasks.
The Indian Navy’s requirement for more P-8I long-range maritime patrol aircraft was also cleared. Six additional aircraft will join the navy’s existing fleet of eight aircraft.
“The acquisition of P-8I aircraft will significantly boost the navy’s combat/warfighting capability of long-range anti-submarine warfare, maritime surveillance and maritime strike capability,” the MoD spokesperson stated.
The navy will receive 26 Rafale-M fighters, contracted in April 2025 under a deal worth approximately INR63 billion (US$7.4 billion), too. The service will induct 22 single-seat aircraft and four twin-seaters. By 2030, India should have 62 Rafales in service, including these 26 Rafale-Ms.
The Indian Army’s armoured formations receive a much-needed boost too, with government approval for the overhaul of T-72 main battle tanks, BMP-2 infantry fighting vehicles and various armoured recovery vehicles. A service life extension effort will be performed.
The Indian Army has an authorised holding of approximately 3,700 tanks, though its actual fleet comprising T-90S, T-72M/M1 and the indigenously developed Arjun is much less than that. First ordered in 1980, Indian T-72s have received regular upgrades since their induction, and well over a 1,000 of these tanks are operational today.
The first BMP-2 produced under license in India rolled out in 1987, and the latest BMP-2/2K tracked vehicles remain in production. In March 2024, the MoD had contracted state-owned Armoured Vehicles Nigam Limited (AVNL) to upgrade 693 BMP-2s to the new BMP-2M standard with an upgraded night-fighting capability, a new gunner’s main sight, commander’s panoramic sight and fire control system with automatic target tracker.
The latter’s integration was undertaken by the Defence Research and Development Organisation (DRDO), while Bharat Electronics Limited (BEL) developed the sights and fire control system.
Simultaneously, the army received approval to place orders for indigenously developed Vibhav antitank mines, which can be laid as part of antitank obstacle systems to delay the advance of enemy mechanised forces.
For FY2026-27, the Indian government has earmarked INR2.19 trillion (approximately US$24.3 billion) for capital acquisitions. This figure is around 24% higher than the FY2025-26 capital acquisition budget. By December 2025, the MoD had concluded contracts worth INR2.1 trillion for FY2025-26.
by Mike Rajkumar
