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From T-90 Bhishma to T-72 Ajeya… Indian Army’s tanks are going to become ‘superpower’ in 5 years.

July 8, 2026 by Uma Shankar

​The Indian Army has made a huge modernization plan to take its combat capability to the next level. According to sources, India is going to spend more than Rs 75,000 crore in the next 5 years to make its army’s battle tanks and armored vehicles (BMPs) more lethal. Its objective is not only to make the Indian Army hi-tech, but also to give a long and strong business to the country’s defense sector and MSMEs.

Drones will be seen in tanks for the first time

The biggest and interesting thing about this entire project is that now drones will also be included in the tanks of the Indian Army. This decision has been taken in view of the experiences gained from the Russia-Ukraine war. These drones, along with tanks, will help in intelligence gathering, surveillance (ISR) and precise attacks.

Under this scheme, the Army will modernize its T-72 ‘Ajeya’, T-90 ‘Bhishma’ tanks, BMP Infantry Combat Vehicle and Armored Recovery Vehicle (ARV) on a large scale. By replacing the old mechanical, electronic and engineering systems of these platforms, they will be brought to operational condition almost like a new vehicle.

The masterplan of mega modernization is like this

  • Upgradation of T-90 ‘Bhishma’ tank: 200 tanks will be rejuvenated. About Rs 56,000 crore will be spent for this work. ​It will be completed in a phased manner.
  • Modernization of T-72 ‘Ajeya’ tank: 790 tanks will be upgraded. More than Rs 13,000 crore will be spent. ​This work will be done in the vehicle factory of Armored Vehicles Nigam Limited (AVNL), Jabalpur.
  • ​Upgrade of BMP Infantry Combat Vehicle: 500 armored vehicles will be modernized. ​The cost will be less than Rs 5,000 crore. It will be completed at AVNL’s Ordnance Factory, Medak.
  • ​Repair of Armored Recovery Vehicle (ARV): 230 vehicles will be repaired and upgraded. ​Around Rs 1,400 crore will be spent. ​These vehicles will be manufactured and upgraded by BEML. This step will strengthen the combat capability and operational preparedness of the Indian Army under the Make in India scheme.

About Uma Shankar

Uma Shankar writes about finance, business, and investment topics. He simplifies complex subjects like stock market, banking, tax, and cryptocurrency to help readers make informed financial decisions. Data-driven reporting is his strength.

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