TOKYO -- Japan's cabinet approved a record 8.7 trillion yen ($55.1 billion) defense budget proposal for fiscal 2025 on Friday, with the incoming Trump administration in the U.S. seen increasing pressure for a further boost in spending.

The Japanese Cabinet has approved a record 8.7 trillion yen ($55 billion) defense budget plan for 2025 as Japan accelerates building up its strike-back capability with long-range cruise missiles and starts deploying Tomahawks to further fortify the country against growing threat from China,

Japanese Prime Minister Shigeru Ishiba's cabinet on Friday approved a record $730 billion budget for the next fiscal year, while limiting new bond issuance to the lowest in 17 years on the back of record tax revenue.

The Japanese government is expected to approve a record initial budget Friday for the next fiscal year that will ramp up spending on defense and support for regional economies.

Japan’s Cabinet has approved the country’s largest-ever defense budget for the coming fiscal year — 8.7 trillion yen, or about $54.8 billion, a 9.7% increase from this year’s budget.