Template-type: ReDIF-Paper 1.0
Author-Name: Broich, T.
Author-Email: broich@merit.unu.edu
Author-Workplace-Name: UNU-MERIT
Author-Name: Szirmai, A.
Author-Email: szirmai@merit.unu.edu
Author-Workplace-Name: UNU-MERIT
Title: China's economic embrace of Africa: An international comparative perspective
Abstract: This paper discusses the entry of China into the game of foreign finance in
	 Africa. It analyses the scope, destination and sectoral distribution of Chinese
	 financial flows and trade in comparison with Western patterns and trends of aid,
	 foreign direct investment FDI and trade. Chinas foreign aid and manufacturing
	 investment flow to Africas physical infrastructure and productive sectors of
	 agriculture and manufacturing fill the vacuum which emerged when Western
	 financial flows shifted to other sectors and activities. In contrast, Chinas
	 trade patterns with Africa highly resemble those of Africas leading Western
	 trading partners. Africa imports manufactured goods and exports primary goods.
	 Differences in relative factor endowments of labour, capital and natural
	 resources are largely responsible for the pattern of Sino-African trade.
Classification-JEL: F10, F21, F35, F50, O19, O53, O55
Keywords: Foreign aid, Financial aid, Foreign direct investment, FDI, Trade, Trade patterns,
	 Africa, China, Economic development 
Series: UNU-MERIT Working Papers
Creation-Date: 20140531
Number: 2014-049
File-URL: https://unu-merit.nl/publications/wppdf/2014/wp2014-049.pdf
File-Format: application/pdf
File-Size: 2184 Kb
Handle: RePEc:unm:unumer:2014049