130 likes | 306 Views
Chinese participation in infrastructure development in Africa: Roles and impacts . Chuan Chen, Dr. The University of Melbourne . Challenges to Infrastructure Development in Africa . Challenges to infrastructure development in Africa for economic growth and poverty reduction:
E N D
Chinese participation in infrastructure development in Africa: Roles and impacts Chuan Chen, Dr. The University of Melbourne
Challenges to Infrastructure Development in Africa • Challenges to infrastructure development in Africa for economic growth and poverty reduction: • Inadequate infrastructure financing in general; and in particular, • Inadequate financing for O&M and rehabilitation of existing facilities; • Lack of regional infrastructure; • Inadequate investment in the electricity sector; • Weak rural infrastructure; • Weak private participation in infrastructure. • Weak construction and engineering capacity of the local construction industry; • High cost in infrastructure development; • Weak supporting industries for infrastructure and construction projects; • Inequality in infrastructure development
Infrastructure Financing Modalities • Export credit • Conessional loan • Concessional export credit • Grant • Commercial loan • Debt relief • Public Private Partnership • Angola Mode
Market Entry Modes • Chinese AEC contractors’ market entry modes for the African markets
Infrastructure Financing • Chinese infrastructure financing commitment in Africa 2001-2009
Infrastructure Financing • Chinese infrastructure finance commitments in Sub-Saharan Africa by Sector 2001-2009
Infrastructure Financing • Type of projects with Chinese financing commitment: Greenfield versus rehabilitation
Infrastructure Implementation • Total revenue of top international contractors in Africa by nationality
Infrastructure Implementation • Procurement methods used by Chinese contractors in Africa
Infrastructure Implementation • Localization
Infrastructure Implementation • Social responsibilities
Conclusions • China contributes to the economic growth and poverty reduction in Africa by taking part in infrastructure development. • Inadequate infrastructure financing in general; and in particular, • Inadequate financing for O&M and rehabilitation of existing facilities; • Lack of regional infrastructure; • Inadequate investment in the electricity sector; • Weak rural infrastructure; • Weak private participation in infrastructure. • Weak construction and engineering capacity of the local construction industry; • High cost in infrastructure development; • Weak supporting industries for infrastructure and construction; • Inequality in infrastructure development