How China Is Transforming Africa’s Economies - InvestingChannel

How China Is Transforming Africa’s Economies

In 2000, China was the leading source of imports for only a few African countries: Sudan, Gambia, Benin and Djibouti.

But 20 years later, the Asian superpower is now the top supplier of goods for over 30 nations on the continent.

The China-Africa connection has been fostered intensely over the last two decades. As reported by Statista’s research expert for Angola, Kenya and Tanzania, Julia Faria:

“The value of Chinese exports to African countries jumped from five billion U.S. dollars to 110 billion”.

It’s not just a one-way street, however:

“African exports to China also increased, though at a slower pace. In 2020, total export value to China reached nearly 62 billion U.S. dollars, a slowdown caused by the Covid-19 pandemic. The growing Chinese demand for raw materials has found a strong supplier in Africa, with exports valued at around 14 billion U.S. dollars in 2020.”

Far beyond being a simple trade relationship, China has been the largest foreign investor in Africa for a number of years now. Additionally, the country was the source of 25 percent of infrastructure funding in the continent in 2018 – the second highest share that year and only second to the financial commitments from national African governments.

By Zerohedge.com

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