We already know that Africa has been a hot spot for Chinese investment over the last few years. Since 2005, Chinese businesses have invested an estimated $120 billion in sub-Saharan Africa
. And don't expect China's focus on Africa to decrease over the next decade.
According to South China Morning Post
, China's central government and state-owned banks will help finance $1 trillion in projects in Africa through 2025 -- 70-80 percent of which will come from the Export-Import Bank of China -- with a specific focus on infrastructure projects.
"Africa for the next 20 years will be the single-most important business destination for many Chinese mega corporations," said Zhao Changhui, a risk analyst at Export-Import Bank of China, at a recent Africa Investment Summit in Hong Kong
The trouble, as Lily Kuo points out
at Quartz, is that it will be difficult to track whether China follows through. "Chinese aid, investment and lending to Africa are notoriously difficult to decipher, since the country doesn’t release details about the financing of its overseas projects," Kuo said
Still, China seems to be ahead of the curve when it comes to investing in Africa. Earlier this week, World Bank President Jim Yong Kim was calling on North American CEOs to also get involved in Africa
and explore more investment opportunities on the continent. That's because in a report released in October
, the World Bank said the economic outlook for sub-Saharan Africa is positive and projected its GDP growth to be 4.9 percent in 2013, 5.3 percent in 2014, and 5.5 percent in 2015. China, on the other hand, doesn't need to be reminded of those numbers.
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