NAIROBI/BEIJING, September 7 (FinanceFlashNews) – China has opted to focus on fresh investments rather than sweeping debt relief for African nations, announcing a commitment of 360 billion yuan ($50.7 billion) in the next three years. The decision, revealed at the ninth Forum on China-Africa Cooperation (FOCAC), reflects a shift in China’s engagement strategy with Africa, where infrastructure development and renewable energy are taking center stage.
Despite hopes for debt forgiveness, African leaders left the summit with assurances of 30 new infrastructure projects to support the growing African Continental Free Trade Area (AfCFTA), which faces a $100 billion annual infrastructure deficit. China has also pledged to invest in clean energy and nuclear technology, furthering its influence in the energy and industrial sectors across the continent.
While China continues to lead as a key financier in Africa, concerns about transparency and debt terms persist. Trang Nguyen, a strategist at BNP Paribas, pointed out the opacity surrounding China’s lending conditions. Nonetheless, countries like Ethiopia and Mauritius secured currency swap agreements, and Kenya made strides in renewing financing for its modern railway projects.
Key Figures:
| Initiative | Amount/Details |
|---|---|
| Total Investment Pledge | 360 billion yuan ($50.7 billion) |
| Infrastructure Projects | 30 projects to boost AfCFTA |
| Energy Commitment | 30 clean energy projects + nuclear tech |
| Annual African Infrastructure Deficit | $100 billion |
Source: Reuters, AFP, FinanceFlashNews
Keywords: China, Africa, FOCAC, Belt and Road Initiative, infrastructure, clean energy, debt restructuring, currency swaps
