DFPDS-2026 – Delegation of Financial Powers to Defence Services-2026

DFPDS-2026 – Delegation of Financial Powers to Defence Services-2026 vide MoD Order dated 02.06.2026

F No 231(7)/2026/DFPDS Desk/Bud-II

Government of India

Ministry of Defence (Finance)

Kartvya Bhawan-2

New Delhi

Dated: 02/06/2026

ORDER

Delegation of Financial Powers to Defence Services-2026 (DFPDS-2026)

1. Financial Powers to Defence Services were last notified in 2021 and amended from time to time. The revised financial powers are hereby notified vide this MoD Order, which will come into effect from 08/06/2026 except where specifically stated. The enhancement in delegated financial powers to the Competent Financial Authorities (CFAs) is aimed to cater for the emerging requirements of the Armed Forces. Empowering the CFAs through revised delegation in financial powers will ensure expeditious decision making in Revenue procurements, promote indigenisation under Mission Atmanirbharta, foster jointness among the Services and will boost operational preparedness.

2. The Schedules of Financial Powers of Defence Services are as follows:

Army Schedules of Powers-2026 (ASP-2026) Navy Schedules of Powers-2026 (NSP-2026) Air Force Schedules of Powers-2026 (AFSP-2026) IDS Schedules of Powers-2026 (ISP-2026) Medical Schedules of Powers-2026 (MSP-2026)

3. This MoD Order includes Guidelines related to the Schedules of Financial Powers. Interpretation/ Clarifications/Amendments/Modifications on provisions contained in this Government Order, will be regulated as per para 12 of the Guidelines.

4. DFPDS 2021 stands superseded with effect from 08/06/2026 and all the approvals for Acceptance of Necessity (AON), Expenditure Angle Sanction (EAS), Post Contract Management and exercise of Non-Procurement powers will be governed by DFPDS-2026.

5. A soft copy of this MoD Order has been uploaded on MoD’s website: https://mod.gov.in.

6. This issues with the concurrence of Secretary (Defence Finance) and approval of Hon’ble Raksha Mantri.

(Subhash Kumar)

Director (Budget)

MINISTRY OF DEFENCE

DELEGATION OF FINANCIAL POWERS TO DEFENCE SERVICES-2026

(DFPDS-2026)

राजनाथ सिंह

RAJNATH SINGH

रक्षा मंत्री

भारत

DEFENCE MINISTER

INDIA

FOREWORD

The current geopolitical environment and the evolving nature of modern warfare, call for continuous review of ways and the methods for utilizing financial resources while maintaining a robust framework of accountability and responsibility. The Delegation of Financial Powers to Defence Services (DFPDS-2026) aims to improve operational efficiency of the Services by enabling expeditious decision-making in defence procurement from the revenue budget. The enhanced delegated financial powers will further empower field commanders to ensure optimum, timely and effective utilization of resources committed to national security.

The revised financial powers in DFPDS are designed to address the growing expenditure on sustenance and operational readiness, while also meeting emerging requirements. The substantial enhancement of financial ceilings, including the Special Financial Powers of the Army, Navy, Air Force & IDS, is intended to enable timely responses for immediate operational requirements arising from ground realities.

I am sanguine that the revised Delegation of Financial Powers to the Defence Services (DFPDS-2026) along with the Defence Procurement Manual (DPM) issued in 2025, will ensure the availability of requisite resources to meet operational needs while upholding the principles of fairness, transparency and accountability in public procurement.

‘Jai Hind’

New Delhi

02 June, 2026

(Rajnath Singh)

INDEX

SI. No. CONTENT Page No. 1 Government letter No 231(7)/2026/DFPDS Desk/Bud-II Dated 02/06/2026 1 2 Guidelines related to Schedules of Financial Powers 2-5 3 ASP-2026

Army Schedules of Powers 2026 7-52 4 NSP-2026

Navy Schedules of Powers 2026 53-105 5 AFSP-2026

Air Force Schedules of Powers 2026 107-145 6 ISP-2026

IDS Schedules of Powers 2026 147-195 7 MSP-2026

Medical Schedules of Powers 2026 197-226

INDEX (Schedule-Wise)