Saturday, March 5, 2011

Indian defence budget hiked to $34 bn

 Tuesday, March 01, 2011

NEW DELHI: Indian Finance Minister Pranab Mukherjee Monday said the defence budget of the country for 2011-12 had been hiked to about Rs154.4 billion ($34 billion).

Presenting the budget for the next financial year the minister said this will mark an over 4% increase from the outgoing allocations of Rs147.3 billion. Mukherjee also told the Lok Sabha while presenting the annual budget that the capital expenditure for defence in 2011-12 would be scaled up to Rs691 billion up from the Rs60 billion in 2010-11. He said any further requirement for defence of the country would be met.

Spending on the military was boosted to 1.65 trillion rupees (36 billion dollars) for the financial year to March 2012 from 1.47 trillion rupees the previous year. The latest rise comes after nuclear rivals India and Pakistan earlier this month agreed to resume peace talks suspended over two years ago when gunmen killed 166 people in Mumbai.

International consultancy firm KPMG estimates New Delhi will hand out military contracts worth $112 billion by 2016. This year’s increase in defence spending comes as the government is looking to finalise big-ticket deals to procure 126 combat aircraft, 197 light helicopters and 145 ultra-light howitzer artillery guns for the army

Monday, February 28, 2011

Union Budget 2011: Rs 9L disability compensation for defence personnel

Union Budget 2011: Rs 9L disability compensation for defence personnel
NEW DELHI: Defence personnel, who have suffered 100 percent disability during the course of their government service, will henceforth get a one-time compensation of Rs 9 lakh on par with paramilitary personnel fighting Maoists. 

Finance Minister Pranab Mukherjee announced this benefit for defence personnel in his budget proposals presented in Lok Sabha on Monday. 

Defence personnel, who suffered less than 100 percent but over 20 percent disability, would be provided a proportionate amount as one-time compensation, he said.

Sunday, February 27, 2011

Grant of Fixed Medical Allowance (FMA) to the Armed Forces

Fixed Medical Allowance for Veterans & their 

Widows increased from Rs.100/- to Rs.300/- permonth

Circular No.451        Dated:-21.02.2011

Subject:- Grant of Fixed Medical Allowance (FMA) to the Armed Forces

Pensioners  residing in area not covered under ECHS.
Reference :-This Office Circular No. 208 (File No. Grants/Tech/0162-VIII dated 27.07.1998)
            A Copy of Government of India, MOD letter No. 1(10)/09-D (Pen/Policy) dated 12.01.2011, on the above subject is forwarded herewith as Annex to this circular for further necessary action at your end.
2.            The fixed medical allowance has been enhanced from 100/-pm to 300/-pm with effect from 01.09.2008. Ex Servicemen who retired after 01.04.2003 have to become member of ECHS compulsorily and are not eligible to draw Fixed Medical   Allowance. However, all Pre   01.04.2003 retirees have the option of either joining the Scheme or draw Fixed Medical  Allowance as per  the extant rates.
3.            The other conditions for grant of Fixed Medical Allowance as brought out in this Office Circular No.208 quoted under reference shall continue to be inforce. PDAs are requested to please review the cases and revise the Fixed Medical Allowance in all the affected cases accordingly.
No. Grants/Tech/0164/Vol –II
Dated:-21st  February 2011