In 2023, China plans to spend 7.2% more on defense than it did in the previous year, up from 7.1%, as the departing premier warned of mounting “external” dangers to Beijing’s development.
According to a report from the Ministry of Finance released on the first day of the annual session of the nation’s rubber-stamp parliament, the country is anticipated to spend 1.55 trillion yuan ($225 billion) on defense this year.
The increase is slightly larger than last year and about in line with the yearly growth rate, but it exceeds the five percent annual GDP growth target that was previously stated in a separate study.
Beijing’s military budget, which was 1.45 trillion yuan ($210 billion) last year, was the second-largest in the world behind the United States, despite the claims of many outside observers that far more money is really spent.
China continues to spend far less on defense than the US, which has budgeted more than $800 billion for its military this year.
Beijing has recently invested billions of dollars in modernizing its armed forces in an effort to create a force of the highest caliber that can compete with the US and other Western superpowers.