China plans to raise its defense budget to 670 billion yuan (US$106.4 billion) in 2012. In 2011, China's military expenditures represented 1.28 percent of the country's GDP. Comparatively, in the United States and Britain, the figure was higher than 2 percent.
Chinese military spending, particularly the country's defense budget, is given high attention every year during the National People's Congress (NPC) sessions.
The following table shows China's defense budget figures and approximate year-on-year increase since 2008:
(The current foreign exchange rate between dollar and yuan is about 1 to 6.3)