Centre arms DRDO with new financial powers to fast-track next-gen weapons
The Indian government has introduced the Delegation of Financial Powers (DFP-2026) to grant the Defence Research and Development Organisation (DRDO) more autonomy in financial decision-making. This reform aims to accelerate the development and induction of next-generation weapons systems.
Why it matters
Streamlining financial processes is a key component of India's 'Aatmanirbhar Bharat' initiative, intended to reduce reliance on foreign defense imports.
Defence minister Rajnath Singh on Monday released the Delegation of Financial Powers to DRDO (DFP-2026), aimed at improving efficiency, accountability and timely execution of strategic research and development projects in the defence sector.The new framework is expected to speed up the production and induction of systems, platforms and technologies developed within the R&D ecosystem into the Armed Forces. The reform would strengthen collaboration with industry and academia and advance the vision of Aatmanirbhar Bharat, while enhancing self-reliance in defence technologies and overall preparedness.The DFP-2026 significantly expands functional and financial empowerment at various levels within the Department of Defence R&D. It introduces dedicated provisions for trial campaigns, testing and evaluation, and authorises sanctioning of pre-project R&D initiatives.The revised structure also clearly demarcates financial powers for grants-in-aid across Extra-Mural Research Projects, Defence Innovation Accelerator–Centres of Excellence, and Technology Development Fund initiatives under their respective schedules.The Delegation of Financial Powers to Defence Services (DFPDS-2026) aims to enhance operational efficiency by enabling faster decision-making in defence procurement.Chief of defence staff General NS Raja Subramani, defence secretary and DRDO chairman Rajesh Kumar Singh, and other senior officials including secretaries from defence production and Ex-servicemen welfare, along with senior DRDO and finance officials, were present at the event in New Delhi.
The article reports on government policy and defense procurement in a standard news format.
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