The defence minister has approved the Defence Procurement Manual (DPM) 2025, updating the last version from 2009.
The new manual aims to expedite revenue procurement worth around ₹1 lakh crore in the current financial year.
It introduces industry-friendly measures like easing working capital issues, capping penalties at 5-10%, and waiving liquidated damages during development.
It promotes self-reliance through indigenisation, innovation, and collaboration among private industry, Defence PSUs, and premier institutes like IITs and IISc.