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Military spending up, but budget share down
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By staff reporter Wang Ke

China's national defense budget will rise by 14.9 percent to 480.7 billion yuan in 2009, Li Zhaoxing, spokesman for the second session of the 11th National People's Congress (NPC), told a press conference on Wednesday.

China's military spending will increase by 62.5 billion yuan over 2008, said Li.

"The spending ratio against this year's total fiscal expenditure is slightly lower than that of previous years. The military budget share will be down from last year, at 6.3 percent," Li said.

The added money will be used for increasing salaries and benefits for military personnel throughout the country, for reinstating basic facilities for forces in earthquake-hit Sichuan Province, and for disaster relief programs.

The increased budget will also be used for a "moderate" upgrading of military equipment so as to enhance information technologies relating to the armed forces' capacity to conduct a defensive war, he said.

During the years from 1979 to 1989, China's defense expenditure actually registered an average annual decrease of 5.83 percent, and its growth in recent years is still far below the total increase in fiscal revenues. Li also said that "there is no such thing as ‘hidden military expenditure' in China".

A captain from the General Staff Department under China's Defense Ministry, who was only willing to give her family name of Su, told China.org.cn that the growth in the defense budget represents a "compensatory" rise, saying it will help reinforce areas of military defense that have been historically weak, given the rapid and steady growth of China's economy and fiscal revenues in recent years.

"I will be happy if the budget can be passed. Compared with other countries, especially the major powers, China's military spending is still very low, both as a ratio against GDP (gross domestic product) and against total fiscal expenditure," she said.

China saw an average annual rise of 15.8 percent in military spending from 2003 to 2007, while annual fiscal revenues grew by an average of 22.1 percent during the same period, according to Xinhua News Agency.

At today's press conference, China's military expenditure accounted for only 1.4 percent of its GDP, lower than the United States with 4.6 percent, 3 percent in Britain, and 2 percent in France.

Captain Su pointed out that a budget rise will help achieve the coordinated development of economy and national defense.

"Since entering the new century, living standards for the general or civilian public have steadily improved. Improving the salaries and benefits of military personnel is reasonable and acceptable," she said.

She concluded: "We will increase our defense budget because we are facing new tasks and missions. For example, Chinese troops sent in a large number of soldiers and officers, as well as disaster relief materials, for rescue work in areas like the earthquake-hit locations in Sichuan."

(China.org.cn March 4, 2009)

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