NE DEFENCE BUREAU
NEW DELHI, JUNE 29
In a significant policy overhaul aimed at transforming India’s defence research ecosystem, Defence Minister Rajnath Singh on Monday unveiled the Delegation of Financial Powers to DRDO (DFP-2026), a comprehensive reform designed to enhance efficiency, strengthen accountability and ensure the timely execution of strategic research and development programmes.
The revised financial architecture is expected to reduce procedural delays, empower DRDO establishments with greater decision-making authority and accelerate the transition of indigenous technologies from research laboratories to operational deployment across the Armed Forces.
- Landmark financial reform decentralises decision-making to accelerate strategic defence R&D, trials and induction of cutting-edge systems
- Defence Minister says revised framework will strengthen efficiency, accountability and timely execution of mission-critical projects
- Dedicated funding for trials, testing, pre-project research and innovation expected to deepen collaboration with industry, start-ups and academia
- DFP-2026 aims to speed up the journey from laboratory innovation to battlefield deployment, reinforcing Aatmanirbhar Bharat in defence
- New delegation of financial powers empowers DRDO establishments to deliver advanced technologies faster for the Armed Forces
Launching the new framework, Defence Minister said the DFP-2026 would enable the faster production and induction of advanced systems, platforms and technologies emerging from India’s defence R&D ecosystem.
“The DFP-2026 will facilitate faster production and induction of systems, platforms & technologies emerging from the R&D ecosystem into the Defence Forces.”
Highlighting the broader strategic impact of the reform, he said: “The new framework will foster stronger collaboration with the industry and academia, reinforcing the vision of Aatmanirbhar Bharat.”
Underscoring its long-term significance for national security, Defence Minister added: “The revised framework will contribute to enhanced self-reliance in defence technologies and strengthen the nation’s defence preparedness.”
The DFP-2026 substantially enhances functional and financial empowerment across various levels of the Department of Defence Research and Development by introducing a more agile and decentralised approval mechanism.
Among its key provisions are dedicated financial allocations for trial campaigns, testing and evaluation activities, authorisation for sanctioning pre-project R&D initiatives, and a clear segregation of financial powers for grants supporting Extra-Mural Research Projects, Defence Innovation Accelerator-Centres of Excellence and Technology Development Fund projects under distinct schedules.
The reforms are expected to improve project execution timelines, encourage innovation-driven partnerships and strengthen collaboration among DRDO laboratories, industry, start-ups, MSMEs and academic institutions.
Senior officials present during the launch included Chief of Defence Staff General Anil Chauhan, Defence Secretary and Secretary, Department of Defence R&D and DRDO Chairman Rajesh Kumar Singh, Defence Production Secretary Sanjeev Kumar, Ex-Servicemen Welfare Secretary Sukriti Likhi, Controller General of Defence Accounts Anugraha Narayana Das, DRDO Director General (Naval Systems & Materials) R V Hara Prasad, DRDO Director General (Resources & Management) Ravindra Singh, Director, Directorate of Finance & Material Management Maiya Din, and other senior defence officials.
The rollout of DFP-2026 marks another major step in India’s drive to build a technologically advanced, innovation-driven and self-reliant defence industrial ecosystem capable of rapidly delivering next-generation military capabilities.
