China woos African leaders with 'no-preaching' tactics

DW (English)

Beijing is hosting the 9th summit of the Forum on China-Africa Cooperation. There's been immense development since the first meeting in 2000 after China has invested billions in infrastructure and trade.

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00:00China has invested billions to access Africa's wealth of oil, copper, cobalt and other resources,

00:07building roads, railways and port facilities.

00:11The project ensures the swift and efficient transfer of raw materials to China,

00:15while the countries in question obtain infrastructure that benefits their economic development.

00:20But the boom is now over.

00:22Many African countries have gotten into debt trouble

00:26and they realize they have to cut back on the amount of loans they're taking out

00:31because they will have trouble repaying them.

00:34As a result, the whole Belt and Road Initiative has slowed down in Africa.

00:40But China's presence on the continent still far outstrips that of Europe.

00:45At the turn of the millennium, the trade relations of many African countries were still dominated by Europe.

00:51Almost two decades later, the situation had been completely transformed.

00:58That economic dominance is part of China's strategy to become the world's preeminent superpower.

01:04While many Western firms are put off by the high risks involved,

01:08Chinese companies enjoy state backing.

01:12One of the problems that the West faces is that foreign direct investment

01:18depends overwhelmingly on the private sectors of Europe and the United States.

01:23Whereas China has a stronger ability to manipulate

01:28the amount of foreign direct investment that goes in,

01:32the government plays a larger role.

01:35In addition to traditional infrastructure,

01:38the state-affiliated technology giant Huawei is also involved,

01:42expanding Africa's telecoms networks.

01:46Chinese companies are also cracking the consumer market,

01:50with low-priced phones as well as clothing and cars.

01:54That said, Europe has launched an initiative to make up lost ground,

01:59and Middle Eastern countries are also fast-growing investors in the African continent.

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