India is set to significantly increase its defence budget over the next decade, aiming to bolster its military readiness amid potential conflicts with regional adversaries, particularly China and Pakistan. According to forecasts by GlobalData, total defence spending, including pensions, is expected to reach $415.9 billion from 2025 to 2029, reflecting a compound annual growth rate (CAGR) of 3.7%. This strategic move is part of India's broader objective to enhance its military capabilities and assert its position on both regional and global stages.

India is projected to invest approximately $415.9 billion in defence from 2025 to 2029, according to forecasts by GlobalData. This substantial spending reflects India's ongoing efforts to modernize its military capabilities and enhance national security amidst regional tensions, particularly with neighbouring countries.

The investment is aimed at upgrading India's defence infrastructure, acquiring advanced technology, and increasing the overall combat readiness of its armed forces. This aligns with India's goal of becoming a more self-reliant defence manufacturer through initiatives like "Make in India".

The forecasted spending comes at a time when India faces significant geopolitical challenges, including territorial disputes with Pakistan and China. Enhancing military capabilities is seen as crucial for maintaining regional stability and deterrence .

The defence budget increase is expected to stimulate various sectors of the economy, particularly those related to manufacturing and technology. It may also create job opportunities within the defence industry.

Military Imbalance And Resource Allocation

There is a marked asymmetrical military capabilities between India and China, on the other hand, India overpowers Pakistan's capabilities on all fronts. China possesses a larger and more advanced military compared to India, particularly in terms of air power and naval strength. For instance, China fields almost twice as many modern combat aircraft and significantly more naval vessels than India, which creates a substantial military imbalance. This disparity complicates India's ability to respond effectively to simultaneous threats from both adversaries.

India’s military resources are limited, making it difficult to prepare adequately for a two-front war. The need to allocate forces between the western front (Pakistan) and the northern front (China) stretches India's capabilities thin. Additionally, the focus on one front may leave the other vulnerable. 

Conducting operations on two fronts requires extensive logistical support, which is challenging given India's vast geographic diversity and the differing terrain of the borders with China and Pakistan. The Indian military must maintain readiness along both borders simultaneously, which complicates troop deployment and supply lines.

Collusion Between Adversaries

There is a growing concern that China and Pakistan may coordinate their military efforts against India. This potential collusion could lead to a "pincer movement," where both countries launch simultaneous attacks, overwhelming Indian defences. 

The CPEC enhances Pakistan's military capabilities through Chinese investment, which poses a direct threat to India’s territorial integrity, particularly in Kashmir. This corridor not only strengthens Pakistan economically but also militarily, as it facilitates Chinese support for Pakistani military operations against India.

The broader geopolitical environment in South Asia is increasingly volatile, with countries like Bangladesh experiencing political instability that could spill over into India. This instability adds another layer of complexity to India's security calculations as it must contend with multiple potential flashpoints in its neighbourhood.

In summary, India's two-front strategy against China and Pakistan is fraught with challenges stemming from military imbalances, resource constraints, geopolitical dynamics of collusion between adversaries, and internal security issues. Addressing these challenges requires a multifaceted approach that includes enhancing military capabilities, improving intelligence operations, and fostering strategic alliances while managing regional relationships effectively.

India faces several significant challenges in its strategy to manage potential conflicts on two fronts with China and Pakistan. These challenges stem from military, geopolitical, and internal factors that complicate India's defence posture. This projected expenditure focuses India's commitment to strengthening its defence posture and addressing emerging security challenges in a rapidly changing global environment.