‘Country proud of courage shown by armed forces during Op Sindoor’
India has duty to modernise defence sector
NEW DELHI, Feb 15:
Prime Minister Narendra Modi on Sunday hailed the latest Budget and a spate of global trade deals signed by his government as foundations for Viksit Bharat, and urged the private sector to step in “more aggressively” and “boldly” now.
In a wide-ranging interview, Modi blasted the UPA Government for failing to achieve substantial trade agreements, and asserted that women will play the “most important role” in Viksit Bharat.
He said political stability and predictability have restored investor confidence in India and that stronger manufacturing, services and MSMEs have enabled it to negotiate free trade pacts with 38 countries from a “position of strength.”
He listed three top priorities for the next three decades–more structural reforms, deepening of innovation in technology, manufacturing and services, and simpler governance so that citizens and businesses can operate with greater ease and trust.
Asked if he is satisfied with the progress made by India’s Reform Express, he said “I must say that by temperament I am never fully satisfied.”
“I believe public life demands certain constructive restlessness. At the same time it is important to acknowledge the scale of progress achieved in the journey of Reform Express.”
He was asked if India is ready to take the moonshot for Viksit Bharat and was it a now or never situation that led his government to create a Budget that was not typically a ‘Bahi Khata’ document.
“First of all I would respectfully say that none of our budgets has been made with an attitude of creating a run-of-the-mill Bahi Khat. if one takes a closer look at my approach in the last 25 years it becomes clear that our work does not happen in bits and pieces.”
The Prime Minister said there is a broader strategy, a plan of action and an effective implementation that reflects the ‘whole of the nation’ thinking, continuity of purpose and a long-term vision, progressively unfolding step by step, year after year.
“So, this is not a ‘now or never’ moment born out of compulsion. It is a ‘we are ready’ moment born out of preparation and inspiration. This (2026-27) Budget reflects this yearning to become a developed nation.”
In the written interview, Modi also said his government has used its years in office to plug “structural gaps left behind by earlier administrations”, pursued bold reforms and laid the foundations for a developed India.
India has in quick succession concluded landmark trade deals with the European Union and the United Kingdom, securing sweeping tariff reductions and expanded market access for goods and services, while also reaching an understanding with the United States to ease tariff frictions and deepen trade engagement. Together, the moves are seen as significantly improving access for Indian exporters in advanced markets and reinforcing New Delhi’s push to integrate more closely with global supply chains.
“We now have FTAs with 38 partner nations, an unprecedented milestone in India’s trade history. A remarkable feature of these trade agreements is that they span continents and include countries of varying economic strength,” Modi said.
“There is a new confidence in our nation. Our national character has revealed itself even in times of different kinds of challenges and we are a bright spot of growth even in difficult global circumstances.”
Calling productive spending a hallmark of his government, Modi said the Union Budget deliberately avoided short-term populism and instead channelled record capital outlays into infrastructure to drive jobs and sustainable growth.
“Taken together, Budget 2026 is all about strengthening the manufacturing ecosystem, expanding value addition and creating conditions for skill and scale to come together. The end result will be Aatmanirbharta and massive job creation.”
Modi said the next leap toward Viksit Bharat by 2047 will depend on how boldly Indian enterprise invests in innovation, builds long-term capacity and positions itself as a globally competitive, technologically confident and socially responsible engine of growth.
The Prime Minister urged the dynamic private corporate sector to invest “more aggressively” in research and development, adopt frontier technologies, deepen supply-chain capabilities and compete on quality and productivity rather than on protected margins.
“Policy can only create the enabling framework. The next phase of transformation requires a decisive response from the private sector. Incentives and tariff preferences can catalyse growth, but durable competitiveness must rest on innovation, efficiency and scale.”
“Equally, as productivity rises, the gains must be shared fairly between workers, shareholders and owner-managers. Sustainable growth requires social legitimacy. Rising real wages, skill upgrading, and stable employment reinforce domestic demand and social cohesion, which, in turn, support long-term investment.”
The benefits of a decade of defence reforms were evident during Operation Sindoor, Modi said.
As a country that is playing an increasingly important role in the world, India has a duty to modernise its defence sector in line with current realities, Modi said in an exclusive interview.
Citing the allocation of Rs 7.85 lakh crore to the defence sector in the Union Budget 2026-27, the Prime Minister said the outlay is 15 per cent higher than the previous budget and is also the “biggest chunk” given to any ministry or department.
Since day one, the Government has been clear — it will do whatever it takes to support the country’s defence forces and strengthen them, he said.
Modi said the Indian armed forces must be equipped with the best of Indian innovation and industry as technology is reshaping the world and that the NDA Government has been working on modernisation and self-reliance in this sector for the last 11 years.
On Operation Sindoor, the Prime Minister said the entire country is proud of the courage shown by the armed forces.
“During the operation, one could see the benefits of the reforms we have undertaken in the last decade. Therefore, defence budgets, modernisation, etc., all these are parts of our continuous effort and need not be linked to any particular issue,” he said in the written interview.
The Prime Minister was asked if the higher budgetary allocation to the defence sector was part of the lessons learnt from Operation Sindoor and does it also signal a continued mistrust of India’s neighbours, including Pakistan.
“Yes, the reality is that our country has to be strong and be prepared at all times, and that is what we are doing,” he said.
Modi said the modernisation of the armed forces has been a priority of his government.
“In this year’s budget, a record Rs 7.85 lakh crore have been allocated to the defence sector. This is 15 per cent higher than the previous budget and is also the biggest chunk allotted to any ministry or department,” he said.
“If you look at the details, too, there are noteworthy aspects. For modernisation, Rs 1.85 lakh crore have been allotted, which is 25 per cent above last year’s allocation,” he said.
Modi said the capital expenditure allotment for the three forces is almost Rs 2.2 lakh crore, of which 75 per cent is reserved for procurement from domestic defence industries.
“This not only enhances security but also creates jobs and strengthens our industrial base. The results are already visible — defence exports have crossed Rs 23,000 crore, a nearly 35-fold rise in the past decade, and indigenous defence production has touched record levels,” he said.
The Prime Minister said the Government has been “very sensitive” to the well-being of the ex-servicemen.
“Hence, the allotment for the healthcare scheme exceeds Rs 12,000 crore. In percentage terms, it is a 45-per cent rise. But there is something more that I wish to place on record…,” he said.
“Since day one, our government has been clear — we will do whatever it takes to support our defence forces and strengthen them. Yes, this year’s allocation is a record high, but viewing it in isolation only provides a limited perspective,” Modi said.
The Prime Minister noted that it was the NDA Government that fulfilled the four-decade-long demand for OROP (One-Rank-One-Pension).
“It is one of our biggest tragedies that those who ruled the country for decades used the defence sector only to enrich their own pockets, as evidenced by the number of defence-related scams during their tenure,” he said in an indirect criticism of the previous Congress governments.
Modi also highlighted his Government’s push for defence modernisation.
“We have been working on modernisation and self-reliance in this sector for the last 11 years. See the number of startups working in this sector now,” he said.
“We believe in giving Indian talent the opportunity to support our forces and contribute to a stronger India,” he added. (PTI)
Quotable quotes from interview
Following are some quotable quotes by Prime Minister Narendra Modi from his interview on Sunday:
l “Broken and outdated infrastructure has no place in a nation that aspires to create a Viksit Bharat.”
l “First of all, I would respectfully say that none of our budgets has been made with an attitude of creating a run-of-the-mill ‘bahi khata’ documents. Because that is not our approach.”
l “The ‘now is the time’ sense of purpose that you are alluding to has always been there within us. But today, that sense of urgency has become a national conviction. So, this is not a ‘now or never’ moment born out of compulsion. It is a ‘we are ready’ moment born out of preparation and inspiration. This Budget reflects this yearning to become a developed nation.”
l “MSMEs must move beyond being peripheral suppliers. They must become technologically upgraded, globally integrated and export-oriented enterprises that form the backbone of India’s participation in global value chains.”
l “These FTAs are tools to ensure that our youth are not just suppliers to the domestic market, but active participants in global trade and growth.”
l “A country that imported almost all its mobile phones a decade ago is today the world’s second-largest mobile phone manufacturer, with exports forming a significant share of production.”
l “Policy can only create the enabling framework. The next phase of transformation requires a decisive response from the private sector.”
l “As productivity rises, the gains must be shared fairly between workers, shareholders and owner-managers. Sustainable growth requires social legitimacy.”
l “You’ve asked whether I am satisfied with the progress made in the Reform Express. I must say that by temperament, I am never fully satisfied. I believe public life demands a certain constructive restlessness, a constant urge to do more.”
l “I would like to state unequivocally that the welfare of women guides every decision our government takes.”
l “It is my conviction that women will play the most important role in creating Viksit Bharat.” (PTI)
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