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The Delegation of Financial Powers to DRDO (DFP-2026)

The Delegation of Financial Powers to DRDO (DFP-2026):

The Ministry of Defence has released the Delegation of Financial Powers to DRDO (DFP-2026) to accelerate defence research and development projects.

  • Delegation of Financial Powers to DRDO (DFP-2026) is a revised financial governance framework that grants greater financial autonomy to the Defence Research and Development Organisation (DRDO) for faster approval and execution of defence R&D projects.
  • Aim:
    • To speed up research, development, testing, and induction of indigenous defence technologies.
    • To improve financial efficiency, accountability, and self-reliance in India’s defence ecosystem.
  • Key Features:
    • Greater Financial Autonomy: Delegates enhanced financial powers to DRDO for quicker approval and execution of research projects.
    • Dedicated Funding for Trials: Provides separate financial provisions for testing, evaluation, and trial campaigns of defence systems.
    • Support forEarly-Stage Research: Authorises funding for pre-project R&D activities to encourage innovation before formal project approval.
    • Separate Funding Channels: Distinct financial schedules for Extra-Mural Research Projects (EMRPs) and Defence Innovation Accelerator–Centres of Excellence (DIA-CoEs) to strengthen industry-academia collaboration.