China Announces 12.2% Increase in Military Budget

• China announced on 5th March 2014, its biggest hike of 12.2 percent in defence budget. 
• The hike of 12.2 percent will make the Chinese government spend 808.2 billion Yuan or 130 billion US dollar in 2014-15 on defence. 
• This is the biggest increase in three years.
• The rapid growth in defense spending is another sign of the country’s goal of becoming a dominant military presence in the Pacific, with a navy able to project power across the region.
•  In 2013, China’s defense budget increased by 10.7 percent over the previous year. 
• The country’s military spending is the second largest in the world, behind that of the United States.

Important to note : 

• India in its Interim Union Budget 2014-15 allocated 224000 crore rupees or 37.15 billion dollar for the national defence. 
• The allocation represents 9.98 percent increase over the 2013-14 defence budget.