The order to go slow during the upcoming holiday, the largest festival of the year in China, was issued in a special notice from the government, the Liberation Army Daily reported.
The armed forces' Discipline Inspection Commission followed up with similar instructions to the 2.5 million armed forces, according to the paper.
"Fiscal discipline should be strictly observed, and the use of public money to exchange presents, cash or securities must be banned," the paper quoted the order as saying.
"The use of public money to fund banquets or trips or entertainment should also be banned," it said.
Corruption and misuse of public funds is a source of immense discontent among ordinary people in China.