China's defense budget for this year is expected to be 283.8 billion yuan
(about US$35.1 billion), an increase of 14.7%, an official said at a press
conference in Beijing on Saturday, March 4.
This is the budget for 2006, to be submitted by the State Council to the
upcoming National People's Congress for deliberation and approval, said Jiang
Enzhu, spokesman for the Fourth Sessiono of the 10th NPC at the press
conference.
Jiang Enzhu, spokesman for the upcoming NPC
session, speaks at a news conference inside the Great Hall of the People
in Beijing March 4, 2006. The National People's Congress will start its
session on Sunday and conclude it on March 14. [Reuters]
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He said the budget will be used in the following four
fields: wages and welfare benefits for the military personnel; extra
spending on fuel due to international oil price hikes; personnel training; and
appropriate spending on military equipment and the
military combating capacity.
Jiang said the proposed budget is a 14.7% increase over that of last year. He
further explained that the proportion of defense spending in the national fiscal
expenditure is roughly at the same level of the previous years. In 2003,
the proportion was 7.74%, in 2004, it was 7.72% and in 2005, it was 7.34%.
Despite of this reasonable increase, China's military spending is still very
low, as compared with other countries in the world.
In 2005, China's defense spending was US$30.2 billion or 1.36% of its GDP.
But in the United States, its military spending was US$401.7 billion or 3.6% of
its GDP; in Britain, US$48.8 billion or 2.59% of its GDP; in Japan, US$45.3
billion; and in France, US$36.5 billion or 1.98% of its GDP.
Jiang said China is peace-loving country and is taking a road of peaceful
development. China has no intention or capacity to pursue a
high-speed development of its military
equipment.