As part of its plan to increase its economic and political sway around the world, China has dramatically increased its investments and presence in Africa in recent years. Since the Forum on China-Africa Cooperation (FOCAC) was founded in 2000, the diplomatic ties between China and Africa have been quickly developing.
China’s foreign policy places a lot of emphasis on Africa, particularly as it looks to increase its influence globally and gain access to natural resources. Numerous visits by Chinese officials to African nations, including high-level meetings with African leaders, show how eager the Chinese government is to forge close economic and political connections with those nations.
China’s desire for resources to support its expanding economy has been the driving force for its engagement with Africa. Oil, copper, and iron ore are just a few of the many commodities that China consumes the most. For China’s economy to thrive, the supply of these resources from Africa is essential. China has consequently made significant investments in Africa’s extractive industries, such as mining and oil.
Trade has been one of the key ways China has increased its influence in Africa. China became Africa’s top trading partner in 2009 as trade between the two continents grew rapidly over the preceding two decades. The World Bank reports that in 2019, trade between China and Africa increased to a record high of $215 billion, with China buying many raw resources from Africa; including oil, minerals, and lumber.
The fact that many African states are desirable investment targets for Chinese businesses has helped the expansion of trade. A big labor force, arable land, and undiscovered riches are all present in Africa. African nations often have lower labor costs than China, which has attracted Chinese businesses.
Additionally, China has been making investments in telecommunications, power generating, and transportation projects throughout Africa. By giving Africans access to better transportation and communication infrastructure, these initiatives have facilitated trade and investment while also enhancing the quality of life for the continent’s residents. For instance, China helped strengthen Kenya’s transportation infrastructure by building the Mombasa-Nairobi Standard Gauge Railway.
Chinese investment in Africa has benefited African nations in a variety of ways. The investments have boosted economic development by generating jobs and advancing infrastructure.
According to a report by the International Labour Organization, Chinese investment in Africa has created millions of jobs on the continent. For example, the construction of the Mombasa-Nairobi railway in Kenya, which was financed by China, created over 30,000 jobs.
Chinese investment has also given several African nations a different source of money for development projects while assisting them in reducing their trade deficits.
Its involvement in Africa has, however, drawn criticism from some sectors. For instance, detractors claim that China’s investments in Africa’s extractive sectors have resulted in social injustice, environmental damage, and violations of human rights. Others fear that China’s significant economic assistance to African nations could leave them open to political manipulation.
Furthermore, others have expressed worry that by accepting Chinese loans, African nations risk falling into debt traps that will be challenging to escape.
Data from the China-Africa Research Initiative at Johns Hopkins University show that between 2000 and 2020, China invested a total of $303.6 billion in Africa. This funding has primarily gone toward infrastructure initiatives in the energy and transportation sectors.
There are concerns about the level of debt that African countries are taking on from China. According to the Jubilee Debt Campaign, 17 African countries are at high risk of debt distress from Chinese loans, with Zambia and Djibouti being among the most vulnerable.
In addition, some commentators have questioned the efficacy and transparency of the aid.
Critics claim that if these loans collapse, African nations may be forced to give China control of vital resources like ports or mineral rights.
In response to these accusations, China has emphasized the value of non-interference and mutual benefit. The Chinese government has frequently insisted that its investments in Africa are meant to foster growth and development and are not intended to meddle in the internal affairs of African nations. Additionally, China has pledged assistance for the COVID-19 outbreak and canceled debt for some African nations.
The creation of FOCAC, the growth of trade, and investments in infrastructure have all contributed to China-Africa relations. Although China’s participation in Africa has been advantageous in many ways, issues such as environmental damage, violations of human rights, and debt traps have also been brought up.
Nevertheless, China has emphasized mutual benefit and avoiding meddling in domestic African problems as fundamental tenets of its foreign policy. As China’s economy expands and African nations look for allies to help them achieve their development objectives, the relationship between China and Africa is expected to remain crucial in the years to come.