Raksha Mantri Shri Rajnath Singh released the revised Delegation of Financial Powers for the Defence Services, including medical and works projects, in New Delhi on June 04, 2026.
Enhancement in Financial Powers has been made up to 100%, and even more than double in some cases.
Financial Powers delegated for indigenisation and Research & Development within the military ecosystem have been doubled.
This revision will facilitate procurement of more than Rs 1.25 lakh crore through the revenue route, as per current year budgetary allocations.
Special financial powers delegated to Army/Air Force/Naval commanders have been increased significantly with a 100% increase in the total ceiling.
New provisions have been included to promote Joint Service procurement by the Lead Service with higher delegation than normal procurement.
Many new Competent Financial Authorities have been introduced to decentralise the procurement of Goods and Services.
Financial Powers were last notified in 2021.
Revision was necessitated due to expansion in force level and increased expenditure on operations and sustenance vis-à-vis budgetary allocation increase.
Revised Defence Procurement Manual was notified in October 2025.
Officials present: Chief of Defence Staff General NS Raja Subramani, Chief of the Army Staff General Upendra Dwivedi, Chief of the Naval Staff Admiral Krishna Swaminathan, Defence Secretary Shri Rajesh Kumar Singh, Secretary (Defence Production) Shri Sanjeev Kumar, Secretary (Ex-servicemen Welfare) Smt Sukriti Likhi, Secretary (Defence Finance) Shri Vishvajit Sahay, Vice Chief of the Air Staff Air Marshal Nagesh Kapoor, Controller General of Defence Accounts Shri Anugraha Narayana Das.
