RAS question
What percentage of capital acquisition in Defence Budget 2026-27 is earmarked for domestic procurement under Atmanirbhar Bharat?
Correct answer: (C) 75%.
In the Defence Budget 2026-27, 75% of the Capital Acquisition budget, amounting to Rs 1.39 lakh crore, is earmarked for procurement through domestic industries under Aatmanirbhar Bharat.
Explanation
The earmarked share is 75%, not a rough majority figure. The PIB release says the Defence Forces' capital head allocation for FY 2026-27 is about Rs 2.19 lakh crore, with Rs 1.85 lakh crore set aside for Capital Acquisition. Under the section on Aatmanirbharta, it states that Rs 1.39 lakh crore, or 75% of the Capital Acquisition budget, is earmarked for procurement through domestic industries. That makes option C the only figure that matches both the percentage and the policy objective: using defence capital spending to support indigenous procurement and domestic defence industry capability.
Why the other options are wrong
- (A) 50% understates the earmarked domestic-procurement share; the PIB release specifies 75% of the Capital Acquisition budget, not half of it.
- (B) 65% is below the stated earmarking and does not match the Rs 1.39 lakh crore domestic-industry allocation identified as 75% of Capital Acquisition.
- (D) 85% overstates the reservation; the official figure is 75% of the Capital Acquisition budget for procurement through domestic industries.
Concept
This tests defence budgeting under Indian Economy, especially the link between capital acquisition, import substitution and Aatmanirbhar Bharat. RAS often asks such figures because budgetary earmarking turns a broad policy slogan into a measurable fiscal commitment.