by Mario Lettieri and Paolo Raimondi *-
In the ninth summit of the Forum for Chinese-African Cooperation (FOCAC) in Beijing 53 African countries were included, as well as the president of the African Union. The great attention given by China was highlighted by the presence of President Xi Jinping, who also met privately with many African presidents. The message is clear: the African continent has strategic value for China. This is not surprising since Beijing has always planned the Belt and Road Initiative (the new Silk Road) to the African continent as well.
At the summit, China deliberately declared itself as part of the southern part of the world and the group of developing countries. He put himself on an equal footing with African countries, adhering to the principle of non-interference and non-interference in their decisions and internal affairs.
President Xi has announced investments and financial support of 50 billion dollars over three years in various economic sectors, starting with major infrastructure links.
China is not a welfare center. It is clear that there is an economic benefit from using African raw materials and food. In 2023, trade between China and Africa will reach 282.5 billion dollars, 100 of which are related to the export of African goods. Africa will also reap benefits through upgrading its infrastructure, as well as participating in today’s agribusiness revolution.
FOCAC has said that it recognizes only one China. Obviously, this will have implications in international political relations.
The analysis of the two documents of the summit, the Beijing Declaration and the Action Plan (2025-27), which were adopted unanimously, provides an understanding of future initiatives. China and African countries already have an operational network with experts, regulations, meetings and projects. Something that does not exist with the US or even with Europe. All true European action is, unfortunately, always undermined by the usual interests of the old colonialism.
The counterparts highlighted their strategic programs: the Belt and Road for China and the African Union’s Agenda 2063, especially the Program for Infrastructure Development in Africa (PIDA), also in the perspective of the trade area free toll free, African Continent. Free Trade Area (AfCFTA).
The Action Plan details the many initiatives to be carried out. China is already involved in 21 infrastructure connectivity projects on the African continent and in the “100 businesses in 1,000 cities” program. Chinese-African cooperation will start in 100 universities, the creation of 25 research centers, 50 business ventures with African SMEs, 30 energy projects. China has promised to eliminate tariffs on products imported from less developed African countries with which it has diplomatic relations.
In addition, the aim is to expand the use of two international payment platforms, alternatives to the US-controlled SWIFT: the Pan-African Payment System and Seattlement and the Payment System Cross-Border Interbanking (CIPS) in China, also through growing use. of the Chinese currency in financial transactions in Africa. The use of local African currencies is expected to increase.
These are defensive moves in relation to American sanctions that are already affecting many countries on the continent. In addition, the dollar is increasingly seen as a weapon against those who do not follow Washington’s orders.
Regarding the controversy about the “debt gap”, about the financial and debt dependence of African countries on China, it should be remembered that the loans given by Beijing from 2000 to 2020 were around 700 billion dollars. Today, 12% of Africa’s total public and private debt is held by Chinese creditors. It is an important figure, but it is not certain for a possible appeal to China’s will.
Unfortunately in the West the FOCAC summit in Beijing was completely ignored. It is not a good sign. Instead, everything should be done to ensure that Africa does not, as in the past, become a continent where “proxy wars” are fought.
* Mario Lettieri, former deputy secretary and secretary of the Economy; Paolo Raimondi, economist and university professor.
