China hikes defense budget by 7.5% to $177.61 billion
China, the world's second largest military spender after the US, announced a 7.5% increase in its defense budget for this year, hiking it to a whopping $177.61 billion. The 2019 defense budget will be 1.19 trillion yuan (about $177.61 billion), according to a draft budget-report to be submitted at the opening of the annual session of China's Parliament, the National People's Congress (NPC), today.
China's budget is over three times that of India's
The increase this year is lower than that of last year's 8.1%, which amounted to $175 billion. The budget is over three times that of India's. China, which increased its defense budget in double digits till 2015, has been lowering it to single digit hikes since 2016. Its budgeted defense spending growth-rate stood at 7.6% in 2016, 7% in 2017 and 8.1% in 2018.
China's defense spending moved closer to $200 billion mark
With this year's increase, China's defense spending moved closer to the $200 billion mark, making it the highest spender on defense after the United States. India's defense budget this year was increased by 6.87% to Rs. 3.18 lakh crore against last year's allocation of Rs. 2.98 lakh crore, notwithstanding expectations of a major hike when China and Pakistan were bolstering their military capabilities.
Military reforms included giving priorities to navy, air force
In recent years, China has resorted to major reforms of its military, which included giving priority to expand its navy and air force to enhance its influence abroad, while cutting down three lakh troops of the People's Liberation Army (PLA). Even after the cuts, the PLA is the world's biggest military with two million personnel in its ranks.
Xi Jinping repeatedly called on the army to be combat-ready
President Xi Jinping, who vowed to turn PLA into a "world class" military by mid-century, has repeatedly called on the army to be combat-ready. The hike comes as Beijing steps up its efforts to assert its vast territorial claims in the disputed South China Sea.
Raise aimed to 'meet country's demand in safeguarding national-security'
Describing China's defense budget increases in recent years as reasonable, NPC spokesman Zhang Yesui said the raise aimed to "meet the country's demand in safeguarding national security and military reform with Chinese characteristics". In his preparatory media conference yesterday, Zhang put up a staunch defense of China's continued heavy spending on defense, saying it was still less compared to other "major developing countries" military-expenditure.
China's defense budget accounted for 1.3% of the GDP
"Whether a country is a military threat to others or not is not determined by its increase in defense expenditure, but by the foreign and national defense policies it adopts," said Zhang. Compared to other countries, China's defense budget accounted for 1.3% of the GDP, while major developing countries spent 2% of GDP on their defense, the spokesman further added.
We pursue a defensive national defense policy, said the spokesman
"China remains committed as always to a peaceful path of development and we pursue a defensive national defense policy. China's limited defense spending is for safeguarding the sovereignty, security, territorial integrity of the country. It's not a threat to other countries," said Zhang. As part of the new policy, China now has one aircraft carrier, another undergoing trial and the third one under construction.
China plans to have five aircraft carriers in near future
The state media reported that China planned to have five aircraft carriers in the near future with plans to build nuclear carriers like the US. It is also rapidly adding new naval ships and submarines. Beijing also claimed to have developed a new range of missiles and weapons systems in recent years, including stealth aircraft (designed to avoid detection using a variety of technologies).
