Special Report:  Global Financial Crisis

    CANBERRA, May 2 (Xinhua) -- The White Paper that Australia launched earlier Saturday for expanding defense fund is also expected to stimulate the country's economy, according to Prime Minister Kevin Rudd on Saturday.

    The Australian government plans to spend hundreds of billions of dollars expanding military capability to defend itself against any threat in a changing Asia-Pacific region.

    "When we say that this is a significant expansion of Australia's defense capability for the future, the other part of what I believe to be the good news for the nation is that a lot of this construction will occur in Australia," Rudd told reporters in Sydney.

    "It is good news for industry as many of the new assets will bebuilt locally," Rudd added.

    According to Australian Associated Press, the Australian Industry Group (Ai Group) has welcomed the white paper as a major additional economic stimulus package.

    "This long-term spending commitment will make a big contribution across the Australian economy for businesses and employment in fields such as manufacturing, construction, engineering and ICT (Information and Communications Technology)," Ai Group chief executive Heather Ridout said.

    The 140-page white paper -- Defending Australia in the Asia Pacific Century: Force 2030 -- outlines defense and strategic planning and signals what the government calls a major new direction aimed at building a "heavier" naval, air combat and logistics capability in the Asia Pacific.

    The defense blueprint, which is believed to be the largest single defense project in Australia's history, says the governmentwill buy new submarines, naval helicopters, destroyers and frigates, protected vehicles for the army, and about 100 F-35 Joint Strike Fighters with supporting systems and weapons.