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On Tuesday, a parliamentary panel suggested that the Indian Army's capital budget should be expanded to enhance its deterrence capabilities against two hostile neighbours, presumably China and Pakistan.
The panel commended the defence ministry's efforts in indigenous military platform manufacturing and aimed for 100 per cent of the contract value to be awarded to Indian vendors in the future. The panel referred to proxy wars, most likely a reference to Pakistan's cross-border terrorism in Jammu and Kashmir, as a challenge faced by the Army. The panel recommended that the modernisation funds for the armed forces should be gradually increased and called for a distinct allocation for committed liabilities and new schemes under the modernisation/capital budget. The panel's findings were presented to the Lok Sabha on Tuesday, suggesting that defence spending should be in proportion to neighbouring nations' increased defence expenditures. Therefore, the Army's capital budget should be expanded to counter at least two hostile neighbours, as per the panel's recommendations, alluding to China and Pakistan.