India's defence sector to invest over ₹77,000 crore in army modernisation and new Madhya Pradesh plant

The Indian Army announced a five‑year modernisation programme valued at more than ₹75,000 crore. The plan will restore and upgrade 790 T‑72 "Ajeya" tanks, 200 T‑90 "Bhishma" tanks, 500 BMP infantry combat vehicles and 230 armoured recovery vehicles, adding new‑generation systems and drones for intelligence, surveillance, reconnaissance and combat. The overhaul is to be carried out by Armoured Vehicles Nigam Ltd, its subsidiaries and around 1,200 MSMEs and start‑ups, aiming to extend platform life, reduce import dependence and give the defence industry long‑term order visibility.

In parallel, the foundation stone was laid for a Rs 2,500‑crore defence manufacturing plant in Madhya Pradesh. The facility will produce advanced defence equipment, create thousands of jobs and further the "Make in India" push for indigenous production. Officials say the plant will integrate local suppliers, boost regional economic development and enhance India’s strategic autonomy in the global defence supply chain.