The spike in People's Republic of China's military budget comes against a backdrop of continuing disputes over territorial waters in the region. China has been accused of being increasingly assertive and expanding its military reach.
It also comes as the United States is stepping up its military presence in the region. Washington has shifted its focus to Asia-Pacific as part of what it calls a strategic pivot.
China is second only to the US when it comes to military spending. Its budget now stands at little under $132 billion.
The increase in China's military budget is the first for president Xi Jinping. He has made his desire clear to build what he calls a strong and rejuvenated China.
But just how much of a concern is China's growing military power?
Presenter: Mike Hanna
Guests: Willem Van Kemenade: China analyst and author of the book: 'China, Hong Kong, Taiwan, Inc.: The Dynamics of a New Empire'
Roderic Wye: associate fellow with the Asia Programme at Chatham House
Bonnie Glaser: a senior advisor for Asia in the Freeman Chair in China Studies