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PB 14/36 - How the Private Sector is Changing Chinese Investment in Africa

Author: 
Xiaofang Shen

Date of Publication: 
December 2014

Abstract:  
The pace of the increase of the Chinese investment in Africa in recent years has, truly, been breathtaking.  Until about 15 years ago, China’s capital flow to Africa was almost all government-aid related. China’s investment in Africa is far from monolithic and is growing increasingly diverse. The driving force behind this evolution is the rising role of China’s private sector. Private investors are primarily driven by self-interest, i.e., profits; but profit-based investment can create real economic opportunities for host countries.

View Policy Brief: DPRU PB 14/36