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China set to increase defence budget for 2002
Chinese Premier Zhu Rongji on Tuesday laid the groundwork for a possible double-digit hike in military budget for 2002 which would be announced on Wednesday.
Chinese Premier Zhu Rongji on Tuesday laid the groundwork for a possible double-digit hike in military budget for 2002 which would be announced on Wednesday.
"Strengthening national defence and building up the armed forces constitute an important guarantee for national security and the smooth development of our socialist modernisation drive," Zhu said in his nearly two-hour-long state of the nation address.
"It is of vital importance to ensure national security and social stability in the new circumstances. We must take strict precautions and firmly crack down, according to law, sabotage by hostile forces both inside and outside," he said. Zhu's remarks came ahead of reports in the Hong Kong media that Chinese Finance Minister Xiang Huaicheng would propose a 17.6 per cent increase in defence spending to 166 billion Yuan tomorrow at a meeting of the National People's Congress (NPC), China's parliament.
Last year, China boosted its defence budget by 18 per cent to 141 billion Yuan, but western experts say that did not include arms purchases and the real budget could be up three to four times higher. The increase could be in response to a $48 billion hike in US Defence spending and the uncertainties in Beijing's relations with arch-rival Taiwan, analysts said.
The proposed hike in military budget would also serve to curry favour with the Chinese military, which also plays an active role in Chinese politics, especially ahead of the 16th congress of the ruling Communist Party of China (CPC), one analyst said.
"It is of vital importance to ensure national security and social stability in the new circumstances. We must take strict precautions and firmly crack down, according to law, sabotage by hostile forces both inside and outside," he said. Zhu's remarks came ahead of reports in the Hong Kong media that Chinese Finance Minister Xiang Huaicheng would propose a 17.6 per cent increase in defence spending to 166 billion Yuan tomorrow at a meeting of the National People's Congress (NPC), China's parliament.
Last year, China boosted its defence budget by 18 per cent to 141 billion Yuan, but western experts say that did not include arms purchases and the real budget could be up three to four times higher. The increase could be in response to a $48 billion hike in US Defence spending and the uncertainties in Beijing's relations with arch-rival Taiwan, analysts said.
The proposed hike in military budget would also serve to curry favour with the Chinese military, which also plays an active role in Chinese politics, especially ahead of the 16th congress of the ruling Communist Party of China (CPC), one analyst said.