India clears ₹2.38 lakh crore defence push, boosts air and artillery strengthS-400 systems, Dhanush guns among key approvals as military modernisation accelerates
India approved defence acquisition proposals worth ₹2.38 lakh crore on Thursday, significantly strengthening its military capabilities across land, air and coastal operations as part of a broader push to modernise the armed forces, March 27, 2026.
The approvals were granted by the Defence Acquisition Council (DAC), chaired by Defence Minister Rajnath Singh, which accorded Acceptance of Necessity (AoN) for a wide range of advanced platforms and systems for the Army, Air Force and Coast Guard.
Among the key clearances were additional acquisitions of the S-400 long-range air defence system, aimed at countering aerial threats, and the Dhanush artillery gun system, which will enhance the Army’s ability to strike long-range targets across varied terrain. The council also approved runway-independent aerial surveillance systems, high-capacity communication networks and advanced armoured-piercing ammunition to strengthen battlefield effectiveness.
For the Indian Air Force, the proposals include procurement of new medium transport aircraft to replace ageing AN-32 and IL-76 fleets, improving both strategic and tactical airlift capabilities. Plans for remotely piloted strike aircraft were also cleared, alongside upgrades to Su-30 engine systems to extend operational life and efficiency.
The Indian Coast Guard is set to receive heavy-duty air cushion vehicles, enhancing its capacity for coastal patrol, surveillance and search-and-rescue operations.
The latest approvals come amid a record year for defence procurement, with AoNs worth ₹6.73 lakh crore granted for 55 proposals in the current financial year so far. Capital contracts signed during the period have reached ₹2.28 lakh crore, marking the highest-ever levels for defence acquisitions in a single year.
Officials said the new systems are expected to improve real-time air defence monitoring, strengthen communication reliability and expand India’s surveillance and strike capabilities across multiple domains.
The move reflects India’s increasing focus on preparedness and self-reliance in defence, as evolving security challenges and regional uncertainties continue to shape strategic priorities.
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