China's proposed central and local government budget for 2026 specifies a total national defense expenditure of 1.94 trillion yuan. A spokesperson for the delegation of the People's Liberation Army and People's Armed Police Force at the National People's Congress provided details on the defense budget arrangement.
The spokesperson stated that the Chinese government adheres to a policy of coordinated development between national defense and economic construction, setting defense spending at an appropriate level. In recent years, to safeguard national sovereignty, security, and development interests, and to meet the needs of military modernization with Chinese characteristics, the government has maintained reasonable and stable growth in defense expenditure while promoting sustained and healthy economic and social development. This approach aims to synchronize the enhancement of defense capabilities with economic strength.
In accordance with legal requirements, including the National Defense Law and the Budget Law, the defense budget is incorporated into the annual government budget draft each year. It is managed and utilized lawfully after review and approval by the National People's Congress, with the total amount publicly disclosed.
A strong national defense and military is a strategic support for China's modernization. Considering the overall requirements of national security and development, the 2026 defense budget is designed to ensure that the modernization of national defense and the military keeps pace with the country's broader modernization进程. The goal is to comprehensively enhance the strategic capabilities for safeguarding national sovereignty, security, and development interests, and to achieve the centenary goal of building the military on schedule.
The allocated 1.94 trillion yuan represents a 6.9% increase compared to the previous year's expenditure. Of this total, central government expenditure is set at 1.91 trillion yuan, a year-on-year increase of 7%.
The additional defense funds will be primarily used for the following areas: First, advancing the integrated development of mechanization, informatization, and intelligentization in line with the new three-step strategy for defense and military modernization, thereby improving strategic capabilities. Second, optimizing the joint operations system, promoting the scaled, combat-ready, and systematic development of new-domain and new-quality combat capabilities, upgrading traditional forces, and strengthening advanced combat capabilities. Third, accelerating the development of advanced weaponry and equipment, fostering innovation in defense technology, and speeding up the establishment of modern logistics. Fourth, continuing to deepen political training, steadily advancing realistic combat training, optimizing military human resource policies and systems, enhancing the quality of military academies, and cultivating a new generation of high-quality, professional military personnel.
The military will also advance reforms in defense budget management, strive for a dynamic balance between supply and demand of funds, strengthen whole-process oversight and performance evaluation of military expenditure, and ensure every yuan is spent effectively.
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