Beijing: China has announced a GDP growth target ranging from 4.5 to 5 percent, marking the lowest target since 1991. Simultaneously, the country has increased its defense budget by 7 percent to be implemented by 2026. Despite being the smallest rate in five years, this increment surpasses China's overall economic growth target and exceeds the defense budget growth rates of other Asian nations. The increase occurs amidst rising regional tensions, particularly involving Taiwan.
According to Thai News Agency, Chinese Premier Li Qiang, during the opening ceremony of the annual session of the National People's Congress, revealed the new GDP growth target. Analysts interpret this as a strategic shift for China, moving away from a heavy reliance on exports. In a work report, Premier Li emphasized China's aim to enhance combat readiness and accelerate the development of advanced combat capabilities to bolster the country's strategic ability to safeguard its sovereignty, security, and developmental interests. The defense budget increase is part of a plan to develop next-generation military technology, including missiles, warships, submarines, and advanced surveillance systems.
Security analysts and military attach©s are closely monitoring China's budget, as the nation aims to complete the modernization of its military by 2035. This modernization includes increasing troop deployments across East Asia and addressing corruption at the military's top levels. Concurrently, China is undergoing its largest purge of high-ranking military officers in decades. Two senior generals, Zhang Youxia and He Weidong, are being investigated for disciplinary action, leaving the Central Military Commission with President Xi Jinping and the newly appointed vice chairman Zhang Shengmin as the remaining members.
Regarding Taiwan, Premier Li vowed to combat separatist movements advocating for Taiwan's independence and resist external interference. He emphasized promoting peaceful cross-strait relations and advancing the reunification process. A report by the International Institute for Strategic Studies highlights that China's military budget growth consistently surpasses that of other Asian countries. China's military spending is projected to account for nearly 44 percent of Asia's total defense budget by 2025, up from an average of 37 percent between 2010 and 2020.