China Hints At Hiking Defence Budget

In all over 5,000 deputies and advisors will take part in the two sessions lasting for over a week during which China will formally unveil its new ministerial and top official leadership including a new Premier to succeed Li, who will be retiring. Li is widely expected to be succeeded by President Xi Jinping's loyalist Li Qiang. Except for President Xi, 69, all top officials will be replaced as part of the practice of changing the leadership team every 10 years. Xi and a new set of officials? mostly stated to be his loyalists? were elected to various key posts of the ruling Communist Party of China, (CPC) at its once-in-a-five-year Congress here in October last year.

Xi, regarded as the most powerful leader holding the key posts of head of the party, the military and the Presidency, has been elected for an unprecedented third five-year term continuing in power beyond the 10-year tenure followed by his predecessors.Ahead of the NPC session, its spokesman Wang Chao signalled an increase in its defence budget, which last year totalled USD 230 billion after a 7.1 per cent rise, the second largest after the US defence spending of USD 777.1 billion. ?Wang, while not disclosing the amount, which he said will be formally revealed at the NPC on Sunday, defended China’s steady increases in annual defence budgets, saying China’s defence spending as a share of the GDP was lower than the world average.

China has been ramping up its defence expenditure as it vied with the US for global influence. Its last year’s defence budget was over three times that of India’s defence spending of about USD 70 billion. Wang said the increase in the defence budget is needed to meet the "complex security challenges for China to fulfil its responsibilities as a major country." China’s military modernisation will not be a threat to any country but a positive force safeguarding regional stability and world peace, he said.