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China in Africa: Beating the Odds of Underdevelopment

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  • Hadis Siadat

Abstract

The onset of the Forum on China-Africa Cooperation (FOCAC) in 2000 paved the way for an increase in aid and investment in the developing countries of Africa. As a result of this, China-Africa trade grew from 11 billion USD in 2000 to 170 billion USD in 2011, making China Africa's largest bilateral trading partner. This partnership is crucial to evaluating Africa's economic growth and whether investments, trade and aid have resulted in the improvement of economic conditions and political stability in the region or if China?s activity in Africa has had a negative impact on the continent. The arguments that follow will support the assumption that high levels of Chinese investments, aid and trade have improved the political economic development of Uganda, Kenya, and Zimbabwe. This paper will look at the impacts that China's financial involvements have had on the political economy of development in Africa. More specifically, the questions that will be addressed are: Has Chinese foreign investments, aid and trade in Kenya, Zimbabwe, and Uganda improved the economic situation in these countries? Has China?s economic engagements had positive or negative effects on Kenya, Uganda and Zimbabwe's development from 2000-2015? The variables that will be used to determine the impacts on Africa will be: economic growth (based on GDP per capita), political inclusiveness (based on Freedom House and Ibrahim Index for African Governance indicators) and Human Development (based on the Human Development Index of health and education).

Suggested Citation

  • Hadis Siadat, 2016. "China in Africa: Beating the Odds of Underdevelopment," Proceedings of International Academic Conferences 5306934, International Institute of Social and Economic Sciences.
    • Handle: RePEc:sek:iacpro:5306934
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    JEL classification:

    • A10 - General Economics and Teaching - - General Economics - - - General

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