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China’s audacious infrastructure plans could put a major strain on African economies

China’s audacious infrastructure plans could put a major strain on African economies

The enormous project brings with it many vital questions, and, currently, few clear answers. What will the negotiations with Africa look like and who will be represented? How will financing be deployed and debt managed? How will land acquisition take place, will there be large scale land grabs such as those seen in Ethiopia and Uganda? Will OBOR reinforce the political and economic status quo within participating African states or will it lead to substantial change?

While investment is sorely needed throughout Africa, some have argued that infrastructure deficits are symptomatic of broader societal and economic problems. Simply contracting outside parties to construct new infrastructure will not ameliorate the conditions that led to the deficits in the first place. Additionally, over-investing in physical infrastructure without establishing corresponding governmental institutions and legal structures can lead to economic and financial fragility. –Quartz/

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