President Xi Jinping announced on Thursday that China will increase its support to Africa, pledging nearly $51 billion in funding, expanded infrastructure projects, and the creation of at least 1 million jobs.
The commitments were unveiled during the Forum on China-Africa Cooperation Summit in Beijing, according to Reuters.
China, the largest lender globally, also promised to triple its infrastructure projects across Africa. Despite Xi’s recent shift toward smaller, high-tech projects centred on green technologies, China remains committed to large-scale development across the region.
What XI said:
“China is ready to deepen cooperation with Africa in industry, agriculture, infrastructure, trade and investment,” Xi told delegates from more than 50 African nations gathered in Beijing for the ninth meeting of the three-yearly forum.
Following the opening ceremony, delegates adopted the Beijing Declaration, aiming to establish an “all-weather China-Africa community with a shared future in the new era.” In addition, they approved the Beijing Action Plan for 2025-2027, according to China’s state media.
Xi Jinping also urged for the creation of “a China-Africa network featuring land-sea links and coordinated development.” He encouraged Chinese contractors to return to the billion-strong continent after the lifting of COVID-19 restrictions, which had previously disrupted many of their projects.
“China and Africa account for one-third of the world population. Without our modernisation, there will be no global modernisation,” Xi told the summit.
Xi Jinping also urged for the creation of “a China-Africa network featuring land-sea links and coordinated development.” He encouraged Chinese contractors to return to the billion-strong continent after the lifting of COVID-19 restrictions, which had previously disrupted many of their projects.
At the 2021 China-Africa summit in Dakar, China pledged at least $10 billion in investment, alongside another $10 billion in credit lines. This time, financial aid would be provided in yuan, signalling China’s intent to further internationalize its currency.
Though President Xi Jinping didn’t mention debt in his recent speech, despite China being the largest bilateral lender to many African countries, the 2024-2027 Action Plan addressed debt by including terms for repayment postponements. It also proposed creating an African rating agency to foster a “new rating culture.”
Additionally, Xi announced 30 infrastructure connectivity projects and 30 clean energy initiatives for Africa, with potential cooperation in nuclear technology to address the continent’s power shortages that hinder industrialization.
However, Xi didn’t repeat the 2021 commitment for China to buy $300 billion in African goods, instead focusing on expanding market access. Despite this, Africa is likely to see more Chinese financing. In 2023, China approved $4.61 billion in loans to Africa, marking the first annual increase since 2016.
Xi also said China was “ready to assist in the development of the African Continental Free Trade Area, and deepen logistics and financial co-operation for the benefit of trans-regional development in Africa.”
