New Delhi, Sept. 9 -- India's defence sector could be entering a fresh phase of structural growth, with rising domestic defence spending creating a large addressable opportunity for listed defence companies.

Jefferies estimated that India's domestic defence capital spending could grow at a 16% CAGR between FY26 and FY30, compared with a 10% CAGR for overall defence capex. The brokerage sees a $60 billion-plus domestic defence opportunity over four years, while defence exports are expected to grow at an 11% CAGR to Rs.584 billion by FY30.

"We believe India defence spend should see a double-digit CAGR in the medium-term in the background of global geopolitical tensions," said the brokerage

Another key pillar of the brokerage's bullish on...