That is a SIPRI "estimate".The Finance minister declared a Defence budget of 32 Billion Dollars for 2010 in the Parliament
http://www.defence.pk/forums/india-defence/48621-india-unveils-32b-defense-budget.html
And this is for 2011
India
This accounts for 1.83% of the annual Budget!!!![]()
Cool. I am guessing spending hike has something to do with acquisition of new weapons. With big purchases off the line in near future, spending can be lowered even further.


But on the other hand, you have to admit there is no permanent friendship between countries, there are only national interests or probably just business interests.