THIS week, African leaders are gathering in Beijing, China, to secure funding for critical infrastructure projects as they navigate the intensifying global competition for influence and resources on the continent. The China-Africa forum, touted as Beijing’s largest diplomatic event since the Covid-19 pandemic, will see leaders from South Africa, Nigeria, Kenya, and other nations in attendance, along with dozens of delegations.
Over the past decade, China has significantly deepened its ties with African nations, providing billions of dollars in loans that have fuelled the construction of major infrastructure projects across the continent. These projects, while pivotal in boosting economic growth, have also sparked controversy due to the heavy debt burdens they place on recipient countries.
China’s involvement in Africa is evident in the presence of hundreds of thousands of Chinese workers who have been deployed to build these large-scale projects. In return, China has gained access to Africa’s vast natural resources, including copper, gold, lithium, and rare earth minerals.
Despite the economic slowdown in China, which has made Beijing more cautious about offering large sums of money, African countries are keen to tap into Chinese opportunities for growth. ‘African countries are looking to tap the opportunities in China for growth,’ noted Ovigwe Eguegu, a policy analyst at Development Reimagined.
China, the world’s second-largest economy, remains Africa’s top trading partner, with bilateral trade reaching $167.8bn in the first half of this year alone. However, Beijing has been reluctant to provide debt relief, despite some African nations struggling to repay their loans, leading to cuts in essential public services.
Since the last China-Africa forum six years ago, the world has undergone significant changes, including the Covid-19 pandemic, geopolitical tensions, and current economic challenges. Tang Xiaoyang of Tsinghua University in Beijing told AFP news agency, ‘The old model of loans for large infrastructure and rapid industrialisation is simply no longer feasible.’
The Belt and Road Initiative (BRI), China’s flagship infrastructure project, has been a crucial source of investment for African nations, funding railways, ports, and hydroelectric plants
The Belt and Road Initiative (BRI), China’s flagship infrastructure project, has been a crucial source of investment for African nations, funding railways, ports, and hydroelectric plants. However, the initiative has faced criticism for burdening countries with debt and causing environmental damage. One such project, a $5bn railway in Kenya financed by the Exim Bank of China, was meant to extend from Nairobi to Uganda but stalled due to repayment issues.
Kenya’s President William Ruto has sought additional loans and debt restructuring from China to complete other stalled BRI projects. Kenya currently owes China over $8bn, and recent protests in the country were partly fuelled by the government’s efforts to meet its debt obligations to international creditors, including China.
As African leaders gather in Beijing, many are expected to seek not only more investment but also more favourable loan terms to alleviate their financial burdens. In Central Africa, the race for access to rare minerals has intensified, with Western and Chinese firms vying for control. The continent is rich in critical resources like manganese, cobalt, nickel, and lithium, essential for renewable energy technologies.
Geopolitical tensions between the United States and China further complicate matters for African nations. As the two superpowers clash over issues ranging from Taiwan to trade, African countries may find themselves under pressure to choose sides. Washington has expressed concerns over what it sees as China’s exploitative influence in Africa, accusing Beijing of prioritising its own commercial and geopolitical interests.
China, however, insists that its relationship with Africa is based on ‘win-win’ cooperation, emphasising that both sides benefit from the partnership. ‘We are just partners with you while you are developing. We are also benefiting from it,’ said Tang Xiaoyang.
Despite these assurances, some analysts fear that African countries may struggle to maintain leverage against China. ‘Some people think you can use the US to balance China,’ Eguegu explained. ‘You cannot.’
As the forum unfolds, the outcomes will likely shape the future of China-Africa relations and the continent’s role in an increasingly polarised global landscape.
