Update | China’s military budget boost the lowest in six years
7-8pc rise far lower than 20pc experts said was needed for modernisation
China’s military budget will grow by between seven and eight per cent this year, the slowest increase in six years, National People’s Congress spokeswoman Fu Ying announced on Friday.
Analysts and sources close to the People’s Liberation Army said the increase was surprising low but did not include compensation for the 300,000 personnel to be cut as part of President Xi Jinping’s military overhaul. It also did not cover outlays for long-term military modernisation and dual-use research, they said.
However, Major General Luo Yuan and Academy of Military Sciences researcher Chen Zhou insisted there were no “hidden expenses” in the country’s defence spending, according to Xinhua.
The funds would be used to upgrade weapons and equipment, restructure the military and train personnel, they said.
The budget announcement came after military experts and officials said the army needed a 20 per cent budget increase this year to cover its modernisation programme and challenges in the South and East China seas. It also needed the extra funds for retirement and redundancy pay.
“I couldn’t believe it. I thought [Fu] said this year’s budget increase will be seven to eight per cent more than last year’s 10.1 per cent growth, making it 17 to 18 per cent,” a Beijing-based retired senior colonel said.