UPSC Prelims Practice Questions — Why the government has increased capital spending for the defence sector

Q1. The reservation of 75% of the Capital Acquisition budget of the Ministry of Defence for procurement from domestic industries in FY 2026-27 is being implemented primarily in furtherance of which one of the following national initiatives?

  • A. Aatmanirbhar Bharat Abhiyan
  • B. PM Gati Shakti National Master Plan
  • C. Digital India Mission
  • D. Sagarmala Programme

Q2. In the context of the Ministry of Defence's annual budget, the term 'Capital Acquisition' most accurately refers to:

  • A. Salaries, allowances and pensions of serving and retired armed forces personnel
  • B. Expenditure on procurement of new weapon platforms, equipment and modernisation projects
  • C. Recurring expenditure on stores, transport, fuel and revenue maintenance of existing fleets
  • D. Grants given to state governments for raising state armed police battalions

Q3. What is the approximate share of the Ministry of Defence's allocation in the total Union Budget 2026-27?

  • A. About 8%
  • B. About 11%
  • C. About 14.7%
  • D. About 18%

Q4. Innovations for Defence Excellence (iDEX), which channels capital expenditure towards start-ups and MSMEs supplying the armed forces, functions under which one of the following?

  • A. Department of Defence Production, Ministry of Defence
  • B. Department of Military Affairs, Ministry of Defence
  • C. Department of Defence Research and Development (DRDO), Ministry of Defence
  • D. NITI Aayog, under the Prime Minister's Office