China pledges $50 Billion to Africa over three years
Chinese President Xi Jinping has pledged more than $50 billion in financial support to African nations and announced the elevation of diplomatic ties to a "strategic level."
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Speaking at the ninth Summit of the Forum on China-Africa Cooperation (FOCAC) in Beijing on Thursday, Xi revealed that China will provide 360 billion yuan (approximately $50.7 billion) in funding over the next three years.
The summit, which is one of the largest diplomatic gatherings hosted by China, brought together leaders and representatives from 53 African countries.
Xi described China-Africa relations as being at their "best in history" and proposed upgrading bilateral relations between China and all African nations to the level of "strategic partnerships."
Xi also emphasized that the relationship would evolve into an "all-weather China-Africa community with a shared future for the new era." Of the $50 billion pledged, more than half will come in the form of credit, with nearly $11 billion allocated as grants. Additionally, Chinese firms will contribute $10 billion in investments.
Action plan with 10 key areas
At the summit, Xi introduced a 10-point action plan for cooperation with Africa. These areas include industrial chain collaboration, green development, and common security, all aimed at promoting a just, open, and inclusive modernization process on the continent. The plan also emphasizes peace and security, economic equity, and eco-friendly initiatives.
Xi reiterated that China's partnership with Africa seeks no selfish gain. Speaking to United Nations Secretary-General António Guterres, who also attended the summit, Xi affirmed that China's initiatives are designed to drive African countries' development and improve living standards across the continent.
"China is ready to work closely with the UN to support Africa's efforts in achieving peace, stability, development, and prosperity," Xi told Guterres.
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China’s impact in Africa
Over the past 22 years, since the establishment of FOCAC in 2000, China has contributed significantly to infrastructure development in Africa. This includes the construction of 100,000 kilometers of highways, 10,000 kilometers of railways, 200 schools, 130 hospitals, 100 ports, and 50 stadiums.
According to the Boston University Global Development Policy Center, Chinese lenders have provided 1,306 loans worth $182.28 billion to 49 African countries and seven regional borrowers between 2000 and 2022. Beijing also launched the China-Africa Development Fund in 2006, further deepening its economic ties with the continent.
The FOCAC summit is held every three years, with the 2023 event focused on solidifying China-Africa partnerships and fostering long-term growth and cooperation across a range of sectors.