Investment abroad, political opportunities but economic threat for China

According to an article published by the site national interest, the Chinese economy would be more and more exposed to a possible economic crisis, because of its very important investments abroad, in particular in Africa.

Indeed, since 2005, Chinese private and public investments in sub-Saharan Africa have reached $ 300 billion, positioning the country as the main, sometimes the only, international financial partner of many countries. While these investments have undeniably strengthened China's position on the African continent, many losses have also been recorded, as in the case of the financing of the construction of the railway line linking Djibouti to Ethiopia, which cost $ 1 billion. losses to the company Sinosure, specializing in credit insurance.

Furthermore, if for years, these investments appeared in the eyes of Africans as a windfall, breaking with the translational attitude of Western countries, the examples of the Sri Lankan port of Hambantota, the main port of the country and ceded to China while the country found itself drained of Chinese debts, developed a growing feeling of distrust regarding these investments.

Above all, while the trade war with the United States does not seem to be diminishing, the Chinese economy is likely to have to, in the short term, redirect its external investments towards its own economy, so as to support its own growth, which is essential to stability of the regime.

It therefore seems that, if the policy of massive Chinese investments in Africa and in the world has generated undoubted opportunities, particularly on the geopolitical level, its excessive use could turn into a threat, both for the Chinese presence in these countries , as well as for the country's own economy.

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