Prime Minister Kevin Rudd said that the spending did not target China

Australia is to announce about $73bn ( 49bn) in defence spending aimed at equipping its military for the next two decades.

Key purchases include 100 fighter jets and 12 new submarines, replacing the current fleet of six.

Eight frigates and 24 combat helicopters are also on the list, in the country`s first defence white paper for 10 years.

Prime Minister Kevin Rudd denied that the spending was a response to China.

`It follows very plainly that here in the Asia-Pacific region, there are in certain parts of the region the build-up of armed forces,` he said on Friday.

`We simply need to take a calm, measured, responsible approach for the future.`

The white paper will be published later on Saturday.

`Self-reliance`

Defence Minister Joel Fitzgibbon said that the paper acknowledged that the emergence of new powers could lead to some strategic competition across the globe.

`It`s very prudent for the government to ensure against the rift that might flow from that increased strategic competition and, of course, it`s very prudent for us to recommit to that doctrine of self-reliance,` he told Australian radio.

`In other words, we need to be able to defend our country without necessarily relying on the assistance of other nation states.`

The 12 new hunter-killer submarines - which will be built in Australia - will replace the current fleet of six.

One hundred F-35 fighters will also be purchased over the next decade.

Funds will also be allocated to counter cyber and electronic warfare.