India is rolling out low-interest defense loans as it seeks to woo international arms buyers—particularly those once loyal to Moscow. Prime Minister Narendra Modi, already at the helm of India’s transformation into a global manufacturing powerhouse for everything from iPhones to generics, is now setting his sights on exporting missiles, helicopters, and warships.

To back this push, India’s state-run Export-Import Bank (EXIM) is being given greater capacity to issue affordable, long-term loans—even to countries that typically struggle with traditional financing due to political instability or weak credit, say government and industry sources.

In tandem, India plans to significantly boost the number of defense attachés in embassies worldwide. These officials will take a hands-on role in arms negotiations—an unprecedented shift in strategy aimed squarely at nations historically dependent on Russian weaponry.

Fifteen individuals familiar with the initiative told Reuters the campaign marks a bold new chapter in India’s arms trade policy. Unlike in the past, where Indian officials primarily focused on acquiring high-end foreign gear to counter China and Pakistan, this time Delhi is stepping into the global arms marketplace with serious intent to sell.

While India has long produced small arms, only recently have its private defense firms begun manufacturing advanced weapons systems. Modi’s office, along with the foreign and defense ministries, remained tight-lipped on the details, and EXIM Bank offered no comment.

Still, Defense Minister Rajnath Singh declared on X this month, “India is marching towards achieving the target of increasing defence exports.”

The pivot toward arms exports accelerated after Russia’s invasion of Ukraine in 2022. As Western stockpiles were redirected to Ukraine and Russia focused its production on the battlefield, countries that typically sourced arms from either power began searching for new suppliers. With its dual history of sourcing weapons from both East and West, India began to draw increased interest.

Rosoboronexport, Russia’s state arms dealer, noted it was in talks with India to co-develop and promote military equipment to nations considered friendly to Moscow. The U.S. Pentagon declined to comment.

Government data show India manufactured $14.8 billion worth of arms in the 2023–24 fiscal year—a 62% rise since 2020. Some Indian-made shells have even been spotted in Ukraine.

To impress prospective buyers, New Delhi has begun facilitating direct connections between foreign delegations and Indian defense firms. It’s also showcasing its growing arsenal, including advanced combat helicopters, during live military drills.

Still, challenges remain. According to Viraj Solanki of London’s International Institute for Strategic Studies, India will need to prove the reliability of its indigenous weapons systems to make a compelling case on the global stage. “If India doesn’t start consistently using its own equipment and showcasing its performance, selling it abroad will be a hard sell,” he warned.