'We do not have any aggressive designs nor do we seek to threaten anyone. We seek an external environment in our region and beyond that is conducive to our peaceful development and the protection of our value systems.

'Nevertheless it is incumbent upon us to take all measures necessary to safeguard our country and to keep pace with technological advancements worldwide. It has rightly been said that eternal vigilance is the price of liberty,' he added.

The submarine will be commissioned in the Indian Navy after extensive outfitting and sea trials. It is the first of three such vessels to be built in the country and marks a quantum leap in India's shipbuilding capabilities.

He also said the government was 'fully committed to ensuring the defence of our national interests and the protection of our territorial integrity'. 'We will continue to render all support to the constant modernization of our armed forces and to ensuring that they remain at the cutting edge of technology.'

July 26 is annually commemorated as Kargil Victory Day to mark the Indian Army's success in pushing back Pakistani raiders who had occupied the border area in Jammu and Kashmir in 1999 that led to a military conflict in which at least 500 Indians soldiers died.

Indian Navy will also get a Russian-built Akula class nuclear submarine INS Chakra, expected to be commissioned by this year-end.