Xi, also General Secretary of ruling Communist party and Chairman of the Central Military Commission, made the remarks while joining a plenary meeting of the People's Liberation Army (PLA) delegation at the ongoing legislative session.
The armed forces should fully implement the strategic layout of "Four Comprehensives" and the development strategy of civil-military integration in order to break new grounds in the PLA's capability building, Xi said.
His call came amid a massive crackdown on corruption in the military. About 30 Generals faced investigations for irregularities.
Xi noted that over the past year, the PLA had redoubled efforts to carry out real combat-like military trainings, improve the Party's work style and fight corruption, and to contemplate advancing military reforms.
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Remarkable achievements have been made in the PLA's capacity-building, state-run Xinhua news agency reported.
For a long time, China has witnessed synchronised development in its economic and national defence capabilities thanks to civil-military integration, it said.