At DAD’s 279th Annual Day, Defence Minister calls for ‘any time’ financial review and deeper use of AI, automation and data analytics
GTNS | NEW DELHI | OCTOBER 1, 2026
India’s defence financial management system is set for a wider digital transformation, with Defence Minister Rajnath Singh calling for real-time financial information, greater automation and closer integration of the accounting systems of the Armed Forces.
Addressing the 279th Annual Day of the Defence Accounts Department (DAD) at DRDO Bhawan in New Delhi on Thursday, Singh said financial monitoring should move beyond a fixed annual cycle. He called for a transition from an “Annual Review of Balances” to an “Any Time Review of Balances”, supported by continuously updated Management Information System data.
The Defence Minister also stressed that modern technology should become a larger part of defence financial administration. Artificial intelligence, machine learning and data analytics are being positioned as tools for faster assessment, improved oversight and better decision-making.
A major development announced at the event was the integration of the Defence Accounts Department’s SAKSHAM bill audit and payment system with the Indian Army Financial Information System (IAFIS). The integration will allow budget, sanction and bill information to move digitally between the two systems, supporting real-time visibility of bill status and budget balances and enabling paperless processing.
Another initiative unveiled by Singh was the Treasury Single Account (TSA) system for the Ministry of Defence. Implemented through the Payment Routing and Integrated System Management (PRISM) platform and linked with RBI eKUBER, the system is intended to provide just-in-time release of funds to autonomous bodies and improve visibility over grants and expenditure.
Singh also referred to the next phase of digital reforms in defence finance. He suggested that grievance handling under the SPARSH pension system could be increasingly automated through a conversational AI framework covering channels such as chat, SMS, WhatsApp, email and telephone.
The Defence Minister further called for early implementation of SAMPURNA, an automated revenue procurement system envisaged to use data analytics, artificial intelligence and machine learning as a decision-support mechanism.
The push comes as the Defence Accounts Department expands the digitisation of its core functions, including internal audit, payments, accounting, financial advice and defence pension management. The department traces its institutional origins to the appointment of the Military Pay Master in 1747 and has evolved alongside India’s defence administration.
Singh also emphasised that technological modernisation must be accompanied by responsible administration, particularly in matters involving legitimate dues and service rights of defence personnel and pensioners.
The annual-day programme brought together senior defence leadership, including Chief of Defence Staff General NS Raja Subramani, Chief of Naval Staff Admiral Krishna Swaminathan, Chief of Army Staff General Dhiraj Seth and Vice Chief of Air Staff Air Marshal Ashutosh Dixit.
The developments announced at the event indicate a shift towards a more connected defence-finance architecture in which financial data, payment systems and expenditure monitoring are increasingly integrated into digital platforms.