Rajnath Singh approves delegation of financial powers to armed forces

Defence Minister Rajnath Singh on Tuesday approved the delegation of financial powers to the armed forces for revenue procurement in a bid to cut the delays in making crucial purchases to ensure operational preparedness and quickly meet requirements of the field formations.

A general enhancement of up to two times has been approved for the Competent Financial Authorities. The primary focus of the enhanced delegation of financial powers is to empower Field Commanders and below to procure equipment and war-like stores in a speedy manner for urgent operational necessities and meeting essential sustenance requirements. The defence ministry in a statement said the delegated financial powers of vice chiefs of the services have been increased by 10 % subject to an overall ceiling of ₹500 crore. A new schedule on the hiring of aircraft and associated equipment has been introduced for the Indian Air Force which includes the hiring of air-to-air refuellers. Singh described the decision on expanding the financial powers as “another big step towards defence reforms”. The ministry said the financial powers of Chief of Integrated Defence Staff to the Chairman Chiefs Of Staff Committee (CISC) as CFA has been enhanced substantially and aligned with that of the vice chiefs of the services. The last such enhancement at all levels for the Defence Services was done in 2016.