The Indian Ministry of Defence (MoD) has revived negotiations with Russia to resolve the long-stalled developmental cost issues with the Fifth Generation Fighter Aircraft (FGFA), jointly approved as an equally shared programme under an inter-governmental agreement in 2007.

A cost negotiation committee (CNC) was constituted in late January, according to official sources, after both sides agreed 'in principle' to contribute USD3.7 billion each towards the FGFA's research and development (R&D) programme over seven years.

In December 2010 India had agreed to pay USD295 million towards the preliminary design of the Sukhoi T-50 PAK-FA (Perspektivny Aviatsionny Kompleks Frontovoy Aviatsii) fighter, which India's MoD had designated the Perspective Multi-role Fighter (PMF), or FGFA.