Monday, June 27, 2016

A glimpse of China’s policies towards Africa




China’s policies towards Africa

China’s engagement with Africa continues to soar and light the way based on sound policies meant to sustain the good relationship and drive Africa’s development agenda. Through close contact and collaboration through the Forum on China-Africa Cooperation (FOCAC), China has devised policies that are responsive to Africa’s needs and in consensus with the African leadership. China has continually pledged to work with African countries to promote the all-round development of China-Africa friendly cooperation and strong ties and make an exemplary relationship centered on mutually beneficial cooperation. 

On December 4 and 5 2015, during the FOCAC Summit, Chinese president Xi Jinping in Johannesburg asserted that "Chinese and Africans will remain good friends, partners and brothers forever," and stressed that China will continue to uphold the guidelines of its Africa policy, sincerity, real results, affinity and good faith  and a balanced approach to common principles and interests.

 During the forum, China went above and beyond its tradition of doubling financing commitment to Africa at each FOCAC meeting and tripled it this time. China pledged to invest a total of $60 billion. China had consistently doubled its financing pledges toward Africa at previous FOCAC meetings from $5 billion in 2006, to $10 billion in 2009, and to $20 billion in 2012. 

China has consistently implemented its pledges since the establishment of the Forum. At the summit, Xi proposed 10 overarching plans for Sino-Africa cooperation, covering almost all aspects of their economic ties: industry, agriculture, infrastructure, environment, trade facilitation, poverty alleviation, and public health. 

The overall direction fits in the readjustment of China’s Africa policy since the inauguration of President Xi. “Industrial capacity cooperation” and “strategic complementarity” have become the two keywords for China’s economic aspiration in Africa. Under China’s own economic restructuring and Africa’s aspiration for industrialization, modernization, and urbanization, China is keen on shifting its labour-intensive industries to Africa. Such industrial capacity cooperation is to be complemented by the export of China’s excess capacity to support African infrastructure projects and capacity building through technical assistance, vocational training, and fellowship programs. 

China intends to implement 10 cooperation plans with Africa in the next three years which are aimed at addressing three issues holding back Africa's development, namely inadequate infrastructure, lack of professional and skilled personnel and funding shortage. The 10 cooperation plans include a China-Africa cooperative plan for agricultural modernization, noting that China is to provide 1 billion yuan (US$156 million) of emergent food aid to the African countries hit by El Nino, increase its assistance to Africa to launch hundreds of projects on poverty alleviation named "Happy Life" and relevant plans focusing on women and children,  exemption of  debts arising from the outstanding intergovernmental interest free loans due by the end of 2015 owed by relevant least developed countries in Africa, providing training and educational opportunities to Africa to help solve the continent's talent shortage, implementing a comprehensive strategic cooperative partnership,  pooling US$5 billion this year in its equity investment fund for investment in Africa. These plans aim at addressing three bottleneck issues holding back Africa's development, namely inadequate infrastructure, lack of professional and skilled personnel and a funding shortage. 

These are excepts from the speeches and statements from the Chinese president and Chinese diplomats during and after the FOCAC summit in Johannesburg South Africa.