China`s defence budget this year will rise about 10 percent compared with 2014, the spokeswoman for the country`s parliament said on Wednesday, outpacing the slowing Chinese economy as the country ramps up investment in high-tech equipment.
Government on Saturday increased the defence budget by 9.87 per cent to Rs 2.46 lakh crore for the next fiscal as compared to the revised estimates of Rs 2.22 lakh crore for 2014-15 as it pushes 'Make in India' initiative to curtail over-dependence on imports.
Facing new security challenges in the Middle East and Ukraine, the Obama administration on Monday proposed an increased $534 billion Pentagon base budget plus $51 billion in war funds as it urged Congress to end cuts it says erode US military power.
Japan approved its largest-ever defence budget for the next fiscal year on Wednesday, as hawkish Prime Minister Shinzo Abe looks to strengthen surveillance of territorial waters in the face of a continuing spat with China.
New Delhi`s rationale for increasing the defence budget is "consistent with the shift in the Indian government`s ideology to more nationalistic elements under Prime Minister Narendra Modi", said a Pakistani daily Monday.
China will raise its official defence budget by 12.2 percent this year, the finance ministry said Wednesday, another double-digit increase in the rising power`s military spending that alarms its neighbours.
Reduction of around Rs 14,000 crore in the defence budget for the current fiscal will not affect operational capabilities of the armed forces and important procurements will take place on time, Defence Minister A K Antony said.
China hiked its defence budget by a whopping 10.7 per cent to USD 115.7 billion, dwarfing India`s current defence spending of USD 37.4 bn, amid the communist giant`s military ambitions and territorial disputes with neighbours.