India Approves Rs 3.60 Lakh Crore Defence Package Including Rafale MRFA

The Defence Acquisition Council has cleared a major defence procurement package worth about Rs 3.60 lakh crore, covering Rafale fighter jets, advanced missiles, surveillance systems and key upgrades for the Army, Navy and Coast Guard. The approvals aim to boost combat strength, extend equipment life and increase indigenous production across India’s armed forces.

The council meeting, chaired by Defence Minister Rajnath Singh, is described as the highest-level forum for capital defence procurement decisions. Its latest set of approvals covers new platforms, overhauls of older systems and high-technology projects, with the Ministry of Defence stressing a sharp focus on local manufacturing under Indian industry.

Rafale and MRFA-focused defence procurement for the Indian Air Force

The Ministry of Defence said: "The Defence Acquisition Council, under the chairmanship of Raksha Mantri Rajnath Singh, accorded Acceptance of Necessity (AoN) for various proposals of the Services at an estimated value of about Rs 3.60 lakh crore, on February 12, 2026." This AoN step is the first formal stage in India’s defence procurement process before tenders and contracts.

For the Indian Air Force, the council approved Multi Role Fighter Aircraft {Rafale}, combat missiles and Air-Ship Based High Altitude Pseudo Satellite systems. According to the ministry, "The procurement of MRFA will enhance the capability of undertaking air dominance roles across the spectrum of conflict and significantly boost the deterrence capabilities of IAF with long-range offensive strikes."

The ministry further stated that "the majority of MRFA to be procured will be manufactured in India." It added that the new combat missiles would "enhance the stand-off ground attack capability with deep strike power and very high accuracy," while the AS-HAPS platforms would be used for "persistent Intelligence, Surveillance and Reconnaissance, Electronic Intelligence, telecommunication and remote sensing for military purposes."

Service-wise defence procurement approvals and platforms

Key details of the approved defence procurement programmes for each service are shown below.

For the Indian Army, defence procurement approvals cover Anti-Tank Mines (Vibhav) and life-extension work on Armoured Recovery Vehicles, T-72 tanks and BMP-II Infantry Combat Vehicles. The statement said: "Vibhav mines will be laid as an anti-tank obstacle system to delay the advance of enemy mechanised forces," indicating a focus on slowing hostile armour in battle zones.

Naval and Coast Guard defence procurement for maritime capability

The Ministry added that overhauling ARVs, T-72 tanks and BMP-II vehicles would "enhance service life of equipment, ensuring readiness and operational effectiveness of the Indian Army." These upgrades are intended to keep ageing platforms relevant, while new mines strengthen land-based barriers during any future conflict involving large armoured forces.

The Indian Navy secured approval for a 04 MW Marine Gas Turbine based Electric Power Generator under the Make-I category and for additional P8I Long Range Maritime Reconnaissance Aircraft. The ministry said induction of the generator under the 2020 Defence Acquisition Procedure "will minimise the dependency on foreign manufacturers, ensure self-reliance in power generation requirement of the Indian Navy."

The statement noted that acquiring more P8I aircraft will boost the Navy’s ability for long-range anti-submarine warfare, broad maritime surveillance and precision maritime strike tasks. For the Indian Coast Guard, the council cleared defence procurement of Electro-Optical/Infra-Red systems for Dornier aircraft, saying, "The procurement will assist in enhancing the efficacy of maritime surveillance capability of the ICG."

The clearances come ahead of French President Emmanuel Macron’s visit from February 17-19, with the Rafale-focused defence procurement expected to be closely watched during bilateral engagements. With AoN now granted, detailed tendering, industrial participation plans and contractual stages will follow, shaping long-term force levels for the Air Force, Army, Navy and Coast Guard.