Arun Jaitley takes over as defence minister

Even as the return of Manohar Parikkar to  Goa as Chief Minister had set off speculation here about a reshuffle in the Union Cabinet, Prime Minister Narendra Modi on Monday handed over Defence portfolio to Arun Jaitley, who is also holding presiding the Finance Ministry. A Rashtrapati Bhavan communique said that the resignation of Parrikar as the defence minister, on advice of Prime Minister, has been accepted with immediate effect. ‘Further, as advised by the Prime Minister, the President has directed that Arun Jaitely, Cabinet Minister, shall be assigned the charge of the ministry of defence, in addition to his existing portfolios,’ the communique said. Parrikar submitted his resignation after BJP staked claim to form an alliance government in Goa.

This is the second time that Jaitley is holding the additional portfolio of defence during the present NDA government. He was in-charge of the ministry earlier from May 26 to November 9 in 2014..

Against a passive AK Antony, former defence minister during UPA regime, the entry of Manohar Parrikar in South Block in did  smelt like a breath of fresh air. Insiders say, piled up files started getting cleared.  Modi had picked up Parrikar for the job because of his administrative abilities, clean image  and ability to take tough calls during his tenure as  Goa Chief Minister. But he never turned his back from Goa. When he was asked about the possibility of his return to state politics after he voted in last month's election, Parrikar's gave a cryptic response: "I have lost 4 kg in Delhi because of the food. I like Goan food. You can interpret this the way you want."

It is believed that combination of defence and finance portfolios may give flip to modernization process in South Block. Even though Jaitley in his Budget speech in February had allocated Rs. 3,59,854 crore (US$ 53.5 billion) to the Ministry of Defence (MoD), military experts called in inadequate to address modernization of forces.  Analysing the defence budget, Laxman K Behera, fellow at the Institue of Defence Studies and Analysis (IDSA) said in 2016-17, only 12 per cent of the total modernisation budget of Rs70,000 crore was available for signing new schemes, with the rest being earmarked for the committed liabilities arising out of contracts already signed. This year as well, modernisation budget for the Army as well as the Navy has declined. Also unlike in the previous budget, the new  Budget has not provided any specific incentives to push the Make in India initiative in the defence sector, although some industry-wide proposals were promised.