China to Invest 10 Billion USD in Africa in 3 Years, Support Continent in All Aspects

Addis Ababa December 01,2021 (ENA) Chinese President Xi Jinping announced that China will encourage its businesses to invest no less than 10 billion US dollars in Africa in the next three years.

The president made the announcement in a speech he delivered at the 8^th Ministerial Conference of the Forum on China-Africa Cooperation (FOCAC) in Beijing via video link on the evening of November 29, 2021.

He said China will undertake 10 industrialization and employment promotion projects for Africa, provide credit facilities of 10 billion US dollars to African financial institutions, support the development of African SMEs on a priority basis, and establish a China-Africa cross-border RMB center.

President Jinping added that his government will also establish a platform for China-Africa private investment promotion.  

“China will exempt African Least Developed Countries (LDCs) from debt incurred in the form of interest-free Chinese government loans due by the end of 2021. China is ready to channel to African countries 10 billion US dollars from its share of the IMF’s new allocation of Special Drawing Rights,” he elaborated.

The Chinese leader further stated that his country will open “green lanes” for African agricultural exports to China, speed up the inspection and quarantine procedures, and increase the scope of products enjoying zero-tariff treatment for the LDCs having diplomatic relations with China in a bid to reach 300 billion US dollars in total imports from Africa in the next three years.

In the range of supports his country plans to deliver, the president promised to help the AU achieve its goal of vaccinating 60 percent of the African population by 2022. "I announce that China will provide another one billion doses of vaccines to Africa, including 600 million doses as donation and 400 million doses to be provided through such means as joint production by Chinese companies and relevant African countries. In addition, China will undertake 10 medical and health projects for African countries, and send 1,500 medical personnel and public health experts to Africa."

With respect to poverty reduction and agricultural development, China will set up a number of China-Africa joint centers for modern agro-technology exchange, demonstration and training in China, encourage Chinese institutions and companies to build in Africa demonstration villages for China-Africa cooperation on agricultural development and poverty reduction, and support the Alliance of Chinese Companies in Africa for Corporate Social Responsibilities in launching the initiative of “100 Companies in 1,000 Villages.”

China will also help build or upgrade 10 schools in Africa, and invite 10,000 high-level African professionals to seminars and workshops, President Jinping stated, adding "we will implement “Future of Africa — a project for China-Africa cooperation on vocational education”, and start an employment “through train” scheme for African students in China. China will continue to work with African countries to set up “Luban Workshops”, and encourage Chinese companies in Africa to create at least 800,000 local jobs.

Besides, China will provide 10 billion US dollars of trade finance to support African export, and build in China a pioneering zone for in-depth China-Africa trade and economic cooperation and a China-Africa industrial park for Belt and Road cooperation.

He said that China will in addition undertake 10 connectivity projects for Africa, form an expert group on economic cooperation with the secretariat of the African Continental Free Trade Area (AfCFTA), and give continued support to the development of the AfCFTA.