Reliance role sparks controversy

During an official visit to France in April 2015, Prime Minister (PM) Narendra Modi announced that India would acquire 36 fully built Rafale jets citing “critical operational necessity”. In September 2016, India and France signed an agreement for the acquisition of 36 aircraft at a cost of € 7.87 billion (Dh32.6 billion). In November 2016, however, a political war over the deal began with Congress accusing the government of causing “insurmountable loss” of taxpayers’ money by signing the deal. It claimed that the Anil Ambani-led Reliance Defence Limited had been unfairly picked to be the French firm’s Indian partner. Congress also alleged the cost of each aircraft was three times more than what the previous United Progressive Alliance government negotiated with France in 2012.