Defence Minister Rajnath Singh and others during the release of DRDO Delegation of Financial Powers (DFP-2026)
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After decentralising financials powers of armed forces, the Ministry of Defence (MoD) on Monday unveiled Delegation of Financial Powers-2026 (DFP-2026) for Defence Research and Development Organisation (DRDO), a major reform to enhance efficiency, accountability, and timely execution of strategic R&D projects, the Ministry of Defence said.The DFP was last revised in 2019 December. The latest framework, however, goes beyond the administrative changes to focus on field execution, startup integration, and structural agility. Faster productionThe DFP-2026 will facilitate faster production and induction of systems, platforms and technologies emerging from the R&D ecosystem into the defence forces, stated Defence Minister Rajnath Singh after unveiling the new document. He stated that the decentralised decision making will foster stronger collaboration with the industry and academia, reinforcing the vision of Aatmanirbhar Bharat. Additionally, it will contribute to enhanced self-reliance in defence technologies and strengthen the nation’s defence preparedness.The DFP-2026 aims to significantly enhance functional empowerment at various levels within the Department of Defence R&D, the Ministry stated.The revised framework addresses several critical requirements, including dedicated financial provisions for trial campaigns, tests and evaluation activities, authorisation for sanctioning pre-project R&D initiatives, and clear segregation of financial powers for grants-in-aid pertaining to extra-mural research projects, which are funded by DRDO but executed by outside agency, Defence Innovation Accelerator-Centres of Excellence, and Technology Development Fund projects under the respective schedules, the statement read.core areasThe DFP is an improvement over 2019 version in core areas including dedicated financial provisions for field testing and evaluation, authorisation of pre-project initiatives, segregation of grants-in-aid for innovation ecosystems and focuses of decentralisation.Chief of Defence Staff General NS Raja Subramani; Defence Secretary and Secretary, Department of Defence R&D and Chairman DRDO Rajesh Kumar Singh; Secretary (Defence Production) Sanjeev Kumar; Secretary (Ex-Servicemen Welfare) Sukriti Likhi; Controller General of Defence Accounts Anugraha Narayana Das; DG (Naval Systems & Materials), DRDO RV Hara Prasad; DG (Resources & Management) Ravindra Singh; Director, Directorate of Finance & Material Management Maiya Din and other senior officials were present during the event in the national capital.Published on June 29, 2026
