In the lead-up to the Union Budget presentation scheduled for 1 February in Parliament, Indian Army Chief General Upendra Dwivedi has voiced optimism for a substantial rise in defence allocations. Speaking at the Army's Annual Press Conference 2026 held at the Manekshaw Centre in New Delhi on Tuesday, he underscored the need to bolster indigenous industry under India's Aatmanirbhar Bharat initiative.

General Dwivedi clarified that funding constraints are not a barrier, citing last year's experience where the Army's capital outlay expanded beyond initial provisions to reach ₹80,000 crore. This flexibility, he noted, demonstrates the government's commitment to supporting defence procurement when justified.

He elaborated that while the previous budget provided a specific figure for capital acquisitions, the Army ultimately inked contracts worth ₹80,000 crore, including a landmark ₹40,000 crore deal for Light Combat Helicopters (LCH). "What this means is that as far as the government is concerned, they have said that if you wish to spend money, don’t worry, we will get you money from somewhere," the Chief of Army Staff remarked.

This year, the Army has already utilised an allocated ₹33,000 crore and is progressing towards ₹50,000 crore in expenditures. General Dwivedi expressed hope for budgetary enhancements to reassure domestic industries, aligning with the national clarion call for self-reliance in defence manufacturing.

Turning to transformation priorities, the Army Chief designated 2026 as "the year of networking and data centres." This builds on Defence Minister Rajnath Singh's declaration of 2025 as the year of reform, which focused on overhauling acquisition policies, restructuring forces for modern warfare, and integrating advanced technologies.

Key reforms include establishing dedicated verticals for drones and counter-drone systems across various arms of the land forces. These changes aim to address evolving battlefield dynamics, enhancing operational agility and technological edge.

General Dwivedi also revealed plans to raise a specialised Rocket and Missile Force, mirroring structures adopted by China and other global powers. This initiative seeks to fortify India's air defence architecture amid rising regional threats.

Complementing these developments, the Army has pioneered new units such as the Rudra Brigade, Bhairav Battalion, Shaktibaan units, and Ashni Platoons. These formations represent the first-of-their-kind raisings, tailored to specialised high-intensity roles.

On the Line of Actual Control (LAC) with China, General Dwivedi affirmed that both nations desire sustained peace. He highlighted ongoing military efforts to bridge the trust deficit, supported by high-level diplomatic engagements.

In recent months, interactions involving Prime Minister Narendra Modi, the Defence Minister, and the Foreign Minister have reinforced this trajectory. "The top leadership... and the armed forces from both sides want to keep the borders calm," he stated in response to queries on border stability.

These announcements come at a pivotal juncture for India's defence modernisation, with indigenous production at the forefront. The Army's push for increased funding not only sustains procurement momentum but also catalyses private sector participation in Aatmanirbhar Bharat.

General Dwivedi's remarks signal confidence in fiscal support, drawing from precedents like the stretched capital outlays. As the budget approaches, stakeholders in defence industry circles await confirmation of allocations that could propel projects like the LCH and emerging networked warfare capabilities.

The emphasis on 2026's networking and data focus underscores the Army's digital pivot, vital for integrated battlefields dominated by information dominance. Reforms from 2025, including structural enlargements, have laid groundwork for absorbing AI-driven and drone technologies seamlessly.

Raising the Rocket and Missile Force positions India strategically against peer adversaries, enhancing precision strike and air defence postures. New units like Rudra and Bhairav exemplify doctrinal evolution towards specialised, rapid-response formations.

Amid LAC dialogues, the Army's proactive stance on de-escalation reflects diplomatic-military synergy. High-level meetings have fostered mechanisms to prevent flare-ups, prioritising stability without compromising vigilance.

General Dwivedi's press conference paints a picture of an Army in flux—reforming, indigenising, and networking—while advocating fiscal backing to match ambitions. This holistic vision aligns with national security imperatives in a volatile geopolitical landscape.

Agencies