In the first Budget presented by Prime Minister Narendra Modi’s National Democratic Alliance Government on July 10, 2014, Union Finance Minister Arun Jaitley — who also happens to be India’s Defence Minister — increased the allocation for Defence by about 12.5 per cent over the revised estimates figures for the previous financial year 2013-2014 from Rs 203,672 crore to Rs 229,000 crore (budgetary estimates) for FY 2014-2015. The Minister reassured the members of Parliament that the Government will support the ‘Modernisation of the armed forces… to enable them to play their role effectively in the defence of India’s strategic interests.’

He also announced the Government’s intention to raise the Foreign Direct Investment limit for defence manufacture from 26 to 49 per cent. Though the announcement fell short of the expectations of multinational arms suppliers, a hike in FDI was a decision that had been pending for a long time.

Being mindful of the soft, but important issues that affect the morale of armed forces personnel, the Finance Minister earmarked Rs 1,000 crore for one rank, one pension (OROP) – a long-standing demand of ex-servicemen. He also announced the Government’s intention to build a National War Memorial and Museum in the area of India Gate and Prince’s Park at New Delhi.

Soon after presenting the Budget, Jaitley chaired a meeting of the Defence Acquisition Council (DAC) on July 19, 2014. In this eventful meeting, the DAC approved the acquisition of defence equipment worth approximately Rs 21,000 crore and gave a nod to the Indian private sector to manufacture transport aircraft, an HAL monopoly till now.

The major projects that were accorded DAC approval included five fleet support ships for the Navy; five fast patrol vessels and five offshore patrol vessels each for the Navy and the Coast Guard; 32 ‘Dhruv’ Advanced Light Helicopters built by HAL for the Navy and the Coast Guard; 56 transport aircraft for the IAF to replace the ageing fleet of Avro aircraft; and, search and rescue (SAR) equipment for the three Services.

Jaitley also found the time to visit HQ Western Naval Command at Mumbai, familiarise himself with the aircraft carrier INS Viraat, launch two Coast Guard ships, receive the IAF’s sixth C-17 Globemaster heavy-lift aircraft and addressed the Naval Commanders’ conference.

It is to Jaitley’s credit that he managed to devote so much time to Defence matters while discharging the responsibility of preparing and presenting the annual budget, steering it through Parliament and monitoring and managing the country’s economy. However, it needs to be critically examined whether a Minister holding the Finance portfolio in the Union Cabinet can simultaneously also perform the role of the Defence Minister with an equal amount of efficiency.

This is not the first time a Cabinet Minister has been given dual charge of two important portfolios. Jaswant Singh was simultaneously the Defence and External Affairs Minister in Prime Minister Atal Bihari Vajpayee’s Government for over one year. In the past, at least three Prime Ministers had retained the defence portfolio: Rajiv Gandhi (1985-1987), VP Singh (1987; 1989-1990), KC Pant (1987-1989), and Chandra Shekhar (1990-1991). While such an arrangement had the advantage of providing direct access to the Service Chiefs to the Prime Minister, it was widely believed in the Services that the Prime Ministers were unable to devote the time that was necessary to work in the Ministry of Defence.

The Defence Minister is responsible for formulating defence policies and ensuring their implementation by the Services HQ. As a member of the National Security Council, he is responsible for long-term defence planning in keeping with emerging threats and challenges – a function that has been grossly neglected. It is part of the Defence Minister’s charter to identify national security objectives and formulate the military strategy to achieve those objectives. He must ensure that the military strategy conceived by the Ministry of Defence (MoD) is fully synchronised with the national security strategy approved by the Cabinet Committee on Security (CCS).

It is also his responsibility to guide and oversee the Services’ plans to raise the forces necessary to give effect to the military strategy that has been approved and to provide them the weapons, equipment, ammunition and the logistics stocks that are necessary to fight and win future wars. The Defence Minister periodically issues the ‘Raksha Mantri’s Operational Directive’ to the three Chiefs of Staff under his personal signature. In the absence of a Chief of Defence Staff, it is left to the three Services to coordinate with each other where two or more Services are involved in the planning and conduct of joint operations.

Due to the active nature of the LoC with Pakistan and the PLA’s proclivity to keep probing the limit up to which India’s forces will allow it to penetrate unchallenged on the LAC, the Defence Minister gets involved in border management issues. He must also ensure that the bureaucracy carries out the coordination necessary with the other Ministries to ensure that the Services can mobilise according to plans and be logistically sustained in their deployment areas.

It must also be mentioned that the Defence Minister has a large number of routine administrative responsibilities that must be discharged on a day-to-day basis and some ceremonial duties where his presence is inescapable. In addition, he is responsible to Parliament for his ministry and is required to personally answer starred questions in both the houses.

The Modi Government’s Defence Minister has his work cut out, particularly as the Government needs to approve and implement long-pending defence reforms. The issue of defence reforms has been hanging fire since the Kargil Review Committee report was reviewed by a Group of Ministers headed by LK Advani. The Manmohan Singh Government had appointed the Naresh Chandra Committee to review the implementation of pending defence reforms and to suggest other measures that were necessary in view of the fact that over ten years had passed since the issue had been first taken up.

Important restructuring issues include the appointment of a CDS or a Permanent Chairman of the Chiefs of Staff Committee (CoSC). The logical next step would be to constitute tri-service integrated theatre commands to synergise the combat capabilities of individual services. It is also necessary to sanction the raising of the Aerospace, Cyber and Special Forces commands to deal with emerging challenges.