China defense budget to grow 10.7% in 2013

China plans to raise its defense budget by 10.7 percent to 720.2 billion yuan (114.3 billion U.S. dollars) in 2013, according to a budget report to be reviewed by the national legislature.

The military spending will be used to improve living and working conditions of service people, make the armed forces more mechanized and information-based, and safeguard national security, the report on draft central and local budgets for 2013 says Tuesday.

China spent 650.6 billion yuan on national defense in 2012, an increase of 11.6 percent than the previous year, says the report to be reviewed at the first session of the 12th National People's Congress.

As a percentage of GDP, defense spending was 1.3 percent in 2012, the same as in 2011 down from 1.4 percent in 2006, according to data compiled by Bloomberg.