China invests in building railways in Africa
Photo: SXC.hu
The Nairobi-Mombasa railroad could strengthen geopolitical position of China in Africa.
The Bank of Imports and Exports Kenyan government to grant a loan in
the amount of 3.6 billion dollars earmarked for this larger project in
East Africa. The announcement was made after an African tour of Chinese
Prime Minister Li Keqiang, who visited Kenya, Ethiopia, Nigeria and
Angola.
A railway section linking the port of Mombasa to the capital of Kenya is part of the East African route. Thus, the neighboring countries without access to the sea will have a direct access to the Indian Ocean. This is South Sudan, the Democratic Republic of Congo, Burundi, Uganda and Rwanda.
In these countries no one is questioning the effectiveness of the project. The railway will also allow entry to global markets. Simultaneously, real incentives for the development of regional trade will be created. Both factors are favorable to China, says Alexander Larin, the Institute of the Far East:
"The event falls in the direction of China who is looking for raw materials for the world foreign economic policy, seeking access to their reserves, especially energy. Such is his strategy. Given this and to strengthen its influence, China has invested huge capital in building infrastructure - railways and roads, communications systems, paths to energy sources, aiming future imports. "
The success of the project will enable China to transport oil by tanker from South Sudan to the Kenyan port of Mombasa. Today, imports of oil through Sudan are practically suspended due to internal Sudanese conflict. Moreover, China plans to ensure thereby oil imports from Uganda that take place through a pipeline in constant danger because of regional inter-ethnic conflicts.
However, in Uganda and Rwanda, China has major projects in fisheries and agriculture. The new rail line has been seen with the main artery of imports of goods that group. The construction project was submitted by the public company China Road and Bridge Corporation, the contract having been promoted by the President of China, Xi Jinping, also in August of last year locked in talks in Beijing with his Kenyan counterpart Uhuru Kenyatta. Three months later, the project began to be implemented. It was also announced that the works would be financed by the Bank of China's Imports and Exports.
Meanwhile, an agreement on granting credits was concluded after six months. It is possible that the delay has been associated with political intrigue spun by opponents of the President of Kenya, unhappy that China had been invited without any competition, providing for the participation of other candidates.
Critics say the monopolism allows the Chinese to increase prices for services, while the won competitions are achieved due to the large financial aid from Beijing. Our expert, Alexander Larin, comments:
"Such a scenario has been real, as China has become an influential power which has huge resources to make investments necessary to establish contacts and create a political climate for their investments. The money does not cease to be a powerful tool for the development of collaboration. "
China monopolized the construction and rehabilitation of railways in Nigeria and Ethiopia, having allocated for this purpose a brief amount of 12.3 billion dollars. For the works of modernization of Tanzanian ports were invested 5 billion dollars. With this, China has virtually no competitors nor the financial point of view, or in terms of human resources and logistical support, stresses the expert of the Institute of Africa, Tatiana Deich:
"Even Western countries have difficulties in competing with China in this aspect. On many occasions, according recognize Africans themselves, the West conditioned aid to certain political reasons. China does not. Collaborates with everyone. Its major principle is not to interfere in the internal affairs of African countries, helping them. "
The recent visit of the President of the State Council, Li Keqiang, resulted in a new financial intervention of China in Africa. The decision to raise 10 billion in credits, these may eventually total $ 30 billion was announced. The Chinese-African Development Fund will grow by 2 billion, estimating from there in 5 billion dollars.
A railway section linking the port of Mombasa to the capital of Kenya is part of the East African route. Thus, the neighboring countries without access to the sea will have a direct access to the Indian Ocean. This is South Sudan, the Democratic Republic of Congo, Burundi, Uganda and Rwanda.
In these countries no one is questioning the effectiveness of the project. The railway will also allow entry to global markets. Simultaneously, real incentives for the development of regional trade will be created. Both factors are favorable to China, says Alexander Larin, the Institute of the Far East:
"The event falls in the direction of China who is looking for raw materials for the world foreign economic policy, seeking access to their reserves, especially energy. Such is his strategy. Given this and to strengthen its influence, China has invested huge capital in building infrastructure - railways and roads, communications systems, paths to energy sources, aiming future imports. "
The success of the project will enable China to transport oil by tanker from South Sudan to the Kenyan port of Mombasa. Today, imports of oil through Sudan are practically suspended due to internal Sudanese conflict. Moreover, China plans to ensure thereby oil imports from Uganda that take place through a pipeline in constant danger because of regional inter-ethnic conflicts.
However, in Uganda and Rwanda, China has major projects in fisheries and agriculture. The new rail line has been seen with the main artery of imports of goods that group. The construction project was submitted by the public company China Road and Bridge Corporation, the contract having been promoted by the President of China, Xi Jinping, also in August of last year locked in talks in Beijing with his Kenyan counterpart Uhuru Kenyatta. Three months later, the project began to be implemented. It was also announced that the works would be financed by the Bank of China's Imports and Exports.
Meanwhile, an agreement on granting credits was concluded after six months. It is possible that the delay has been associated with political intrigue spun by opponents of the President of Kenya, unhappy that China had been invited without any competition, providing for the participation of other candidates.
Critics say the monopolism allows the Chinese to increase prices for services, while the won competitions are achieved due to the large financial aid from Beijing. Our expert, Alexander Larin, comments:
"Such a scenario has been real, as China has become an influential power which has huge resources to make investments necessary to establish contacts and create a political climate for their investments. The money does not cease to be a powerful tool for the development of collaboration. "
China monopolized the construction and rehabilitation of railways in Nigeria and Ethiopia, having allocated for this purpose a brief amount of 12.3 billion dollars. For the works of modernization of Tanzanian ports were invested 5 billion dollars. With this, China has virtually no competitors nor the financial point of view, or in terms of human resources and logistical support, stresses the expert of the Institute of Africa, Tatiana Deich:
"Even Western countries have difficulties in competing with China in this aspect. On many occasions, according recognize Africans themselves, the West conditioned aid to certain political reasons. China does not. Collaborates with everyone. Its major principle is not to interfere in the internal affairs of African countries, helping them. "
The recent visit of the President of the State Council, Li Keqiang, resulted in a new financial intervention of China in Africa. The decision to raise 10 billion in credits, these may eventually total $ 30 billion was announced. The Chinese-African Development Fund will grow by 2 billion, estimating from there in 5 billion dollars.
Read more: http://portuguese.ruvr.ru/2014_05_14/China-investe-na-construcao-de-ferrovia-em-Africa-3919/
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