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China’s Financial and Aid Flows into Africa and their Effects

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Foreign Capital Flows and Economic Development in Africa

Abstract

China’s capital flow into Africa revived in the 1990s and has often chosen strategically the key sectors for investment, such as minerals and construction. This chapter evaluates the motives for China’s investing abroad and the issues it raises. We present a classification of Chinese engagements in Africa, ranging from China hardly playing a role in certain countries to Chinese companies deeply involved in at least one strategic sector. Evidence from two case studies—Uganda and Ethiopia—shows that both countries welcome Chinese investments but do not want Chinese retail traders (Uganda) or too many Chinese workers (Ethiopia).

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Author information

Authors and Affiliations

  1. International Institute of Social Studies (ISS), Erasmus University Rotterdam, The Hague, The Netherlands

    Meine Pieter van Dijk

  2. The Maastricht School of Management (MSM), Maasticht, The Netherlands

    Meine Pieter van Dijk

Authors
  1. Meine Pieter van Dijk
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Editor information

Editors and Affiliations

  1. Pennsylvania State University, DuBois, PA, USA

    Evelyn Wamboye

  2. Birmingham-Southern College, Birmingham, Alabama, USA

    Esubalew Alehegn Tiruneh

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van Dijk, M.P. (2017). China’s Financial and Aid Flows into Africa and their Effects. In: Wamboye, E., Tiruneh, E. (eds) Foreign Capital Flows and Economic Development in Africa. Palgrave Macmillan, New York. https://doi.org/10.1057/978-1-137-53496-5_3

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  • DOI: https://doi.org/10.1057/978-1-137-53496-5_3

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  • Publisher Name: Palgrave Macmillan, New York

  • Print ISBN: 978-1-137-53495-8

  • Online ISBN: 978-1-137-53496-5

  • eBook Packages: Economics and FinanceEconomics and Finance (R0)

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