Defence

Why India should have a ‘tit-for-tat’ approach with China

After the Soviet Union’s demise, China has had an unambiguous view that there will be only two global superpowers, China and the US, in that order. Over the last three decades, it has singularly worked at making this a reality. Consider two sets of facts.

First, GDP at purchasing power parity (PPP) measured in current prices, culled out from the International Monetary Fund’s World Economic Outlook. In 1980, China’s was at $304 billion. Believe it or not, India’s was 26% higher at $383 billion. Fast forward to 2019. China’s GDP (at PPP) in current prices was $27.3 trillion, which was almost 2.5 times that of India’s at $11 trillion. In plain English, we meandered along while China raced ahead.

Second, examine military expenditure at current prices, which is from the World Bank. In 1990, China’s was $10.1billion. Ours was mildly larger at $10.5 billion. By 2018, China’s annual military spend had risen to $250 billion, which was 3.75 times ours at $66.5 billion.

Simply put, China has leveraged its stupendous economic growth over the last three decades to build a modern military juggernaut that is by far the largest in Asia, and the second largest in the world after the US.

Facebook Comments

Source
ET News
Show More

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button
Close
Close