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This year’s defence budget marks an increase of 8.1 percent from last year. China has justified its defence budget by arguing that its defence spending is less than 1.5 percent of its GDP, but that argument is not going to go down well with its neighbours.
The country continues to face the sober reality of both rising threats and serious resource constraints.
Modi Govt's defence budget will only sharpen the divide between an increasingly assertive China and the Indian security establishment trying hard to cope up with the Chinese military modernisation programme. China's 2014 military budget is of $132 billion while Indian budget is of approximately US $ 37 bn only.
Global geopolitics is in a state of intense flux. China’s rise has led to greater competition in the international system, with the United States and the post-War global order coming under increasing challenge. China’s high economic growth rate in the past several decades has meant bigger military budgets. In turn, its military rise threatens security in the Indo-Pacific region where China seeks to dominate, from the Himalayas to South China
The recent leadership rejig indicates that by being tough on graft, Xi is overhauling PLA’s combat capabilities for the looming battles ahead
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