China on Monday vowed to target a growth rate of around 6.5% in 2018 that would lift 10 million people out of poverty, in tune with establishing a strong military force.
Presenting his work report — a stocktaking of achievements of the past five years as well as the unveiling of a development roadmap for another year — Prime Minister Li Keqiang, during an annual session of National People’s Congress (NPC), told law makers that China intended to raise its Gross Domestic Product (GDP) by around 6.5%. Jobless rate would be cut below 5.5%.
He highlighted that China will raise its defence budget by a hefty 8.1% over the previous year, signaling Beijing’s intent to build world class armed forces. The total amount of spending would be $175 billion, Xinhua reported, citing a report available to the media ahead of Monday’s NPC opening.
Steady increase in defence spending
China has been steadily increasing its military spending, dovetailed to its economic rise. From a budget of $132 billion in 2014, spending rose by 10%, 7.6% and 7% in the following years.
Mr. Li stressed that China would focus on building strong naval and air defences, bolstered by the infusion of hi-technology, derived though greater collaboration between domestic military and civilian industry. China has already inducted the fifth generation J-20 stealth fighters in its arsenal. There have been media reports that China could be building a third aircraft carrier, using a nuclear powered engine.
Amid concerns about a spiraling trade war with the United States, Mr. Li said China’s national security environment was undergoing fundamental changes.
He added that China’s aspiration to build world-class armed forces would cover “all aspects of military training and war preparedness,” so that “national sovereignty, security and development interests,” could be firmly safeguarded.
Mr. Li underscored that China had fulfilled its earlier goal of cutting troop numbers by 300,000 as part of a road map to build a modern technology driven military force. He stressed that major advances had been recorded in developing military technology and equipment with the help of greater civilian-military industrial integration.
The Chinese Premier underscored that during the phase of modernisation, the military must fully observe the leadership of President Xi and the Party. Under Mr. Xi, who is also the General Secretary of the CPC and head of the apex Central Military Commission (CMC), the PLA had already transformed itself into a strong, world-class military force that had proven its mettle in safeguarding China’s maritime rights, combating terrorism and ensuring social stability.
On Presidency
But Mr. Li did not refer to the CPC’s recommendation of on Sunday that the Chinese presidency should not be limited to two consecutive terms, allowing Mr. Xi to remain President indefinitely.
The Prime Minister said that besides lifting 10 million people out of poverty — one-third of the goal of eradicating poverty by 2020 — 2.8 million poor people from rural areas would be shifted to urban settlements.
He pointed out that the new budgetary allocations were in tune with China’s transition to a innovation based high quality economy that would leverage Artificial Intelligence, Big Data and Internet of
Things (IoT) to produce world class products under the Made-in-China 2025 plan.
On the international plane, Mr. Li said that China stood for sustainable globalisation and opposed protectionism. He said China should step up building of a Free Trade Area Asia-Pacific (FTAAP) trade bloc, which emerged at one time as a counter to the Trans Pacific Partnership — a proposal that was brought up by the Obama administration, but opposed by President Donald Trump.
