Chinese Investment- Good or Bad for African Development??
Chinese Investment- Good for Africa?
The argument for why Chinese investment in Africa is beneficial is reasoned distinctively in favor of the "Chinese model" for foreign investment ties, which is stated to represent a lesser evil as what may be presented by the Western world. The opposite argument, on the other hand, states that an increase in resource flow with China is directly linked to the strengthening of authoritarian states, which, in turn, is fueling some of the conflict that has and continues to take place on the African continent. While both of these arguments seem to be quite reasonably possible, there remains some weariness as to which of these two points of view is more favorable than the other.
Essentially, the "Chinese model" for foreign investment in Africa is one that will help to secure raw materials in aid of China's rapidly growing economy, improve Chinese geopolitical influence and also take advantage of the major growth opportunity presented by the emerging market economies that reside across the resource rich countries of Africa. The Chinese typically like to invest and focus much of their attention on, "long-neglected infrastructure projects and hardly viable industries."
Much of the loans that they offer for these particular projects are presented at zero or near-zero interest and are often times repaid in natural resources, which benefits both China and Africa. In my opinion, this sort of relationship with China is beneficial because Africa is already struggling from an economic standpoint, so repaying the Chinese in natural resources helps with the current African debt situation.
Chinese investment in Africa has seemed to generate a robust increase in economic stability and a relative containment of inflation rates, which overall has improved the financial situation taking place on and around the African continent, as a whole. The Chinese presence in Africa, in my opinion, seems to allow for capital flows in Africa to be more primarily focused on economic investment rather than developmental aid.
While developmental aid is imperative for African success, turning the focal point away from this aspect has resulted in Africa's ability to find its long awaited fate in being able to determine their own destiny, which has been a struggle to achieve for many, many years due to the harsh times of colonization.
Chinese Investment-Bad?
Another viable argument, states increasing resource flow with China results in the strengthening of authoritarian states, which later spurs increased levels of conflict across the continent. While this argument illustrates the other end of the spectrum, supporters of this case still believe that there are potential upsides from increasing trade with China. The tail end of the argument is the fact that this increase in trade is directly associated to the rise of military coups and the stimulation of uneasy political and ethnic conflict, as we have seen and continue to see taking place.
Regardless of this, there has always been an uneasy state of political and ethnic ties since the early beginnings- dating back to the colonization of Africa. In terms of the future, Chinese investment should not be seen as a hindrance since these particular issues were present even before their decision to invest in the vast opportunities residing across the continent became readily apparent.
What are your takes on Chinese Investment in Africa?
Do you think increased Chinese presence in African economies is good/bad for Africa? Why or why not?
Chinese capitals seek way out from Party reach.
From the other side of the fence it looks like investments or even economic expansion
I feel as though China finds little to criticize regarding globalization, which has really fueled their rapid economic rise.... this has an uneasy relationship with the international order, and they almost 'pick and choose' what parts to engage with and what parts to ignore to seek out from party's reach.
It seems regardless of the topic of discussion/concern, China resists any parts of this order which may infringe upon its sovereignty.
When you say good for Africa, do you mean the overwhelming majority of people who will be taken advantage of in a variety of ways, or the corrupt politicians in various countries that will line their pockets? What is imperative for countries (peoples) of Africa to have success is that they do it on their own without outside involvement.
I'm talking mostly from a developmental aspect and an economic standpoint. Obvious help has been needed throughout much of Africa over the years, especially since they were controlled for years on end during the age of harsh (de)colonialization. This left many peoples unprepared for the rapidly changing society they would soon become apart of. Electing officials lacked leadership and knowledge of how to go about advancing society, or at least appropriately for the sake of order.
I can see this being beneficial for Africa, of course, but while this may seem like the 'ideal image' for Africa, they simply do not have the appropriate funds necessary to 'catch up' to the rest of the world without help from the outside world.
Yes, this would be nice for the people and the political figures that you mention, but realistically speaking it just is not the case -- which is unfortunate, but this is the sad truth of the world (most) Africans are living with.
I'm glad you presented both sides and I found your article very informative. One possible problem I see with the Chinese presence is that it might be more of a bandage than something helping long-term. According to CNN "Oil and mining are not labor intensive industries. So while natural resources may create impressive headline growth figures, they do not necessarily translate into widespread job creation."
I can definitely see the analogy you present here. Are the Chinese really there for the good of the African peoples??
Probably not, it is in their best interest to benefit from this for their own sake as much as possible, I am sure. There intensive focus on natural resources, as you mention, does not seem to be creating as many jobs for Africans in need of work, but more so for their own good to capture as much as possible for their rapidly growing domestic economies...
Anyway, with anyone who steps on these lands nothing will be fixed unless the Chinese take power in Africa which would be the best since the Africans do not know how to govern and they have always shown it, to take the whites and the indices (positive) are gone and the indices (negative) go to the clouds
Africa definitely needs an extra hand and set of eyes to watch over them, this has and continues to show. With Chinese presence in Africa, so much more is made possible and simply accessible for the people and the elected officials, which tend to lack back-end experience to lead a governing body.
I am on the positive end of this, thinking Africa needs Chinese presence for their own sake and good moving forward.
Thanks for dropping by
~ Regards from @conradsuperb
The Chinese offer alot.. but it often doesn't get built.
now doesn't this just seem like a reoccurring theme that we see, not just here, but all across the globe? tells me there are some larger, more widespread issues which need to be addressed from a holistic P.O.V.
Now I really don't know if this would do anything for the better, since change takes action and not just reaction.
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