Political-Economic Suboptimization of China’s Belt and Road Initiative: The Case of Infrastructure Investments in Southeast Asia

2021 ◽  
Vol 38 (2) ◽  
pp. 244-262
Author(s):  
Jan P Voon ◽  
Chung Chien-peng ◽  
Chan Sze Nam ◽  
◽  
◽  
...  
Keyword(s):  
Southeast Asia ◽  
Belt And Road Initiative ◽  
Belt And Road ◽  
Infrastructure Investments ◽  
Political Economic

The Countries of Southeast Asia and the Chinese Initiative Belt and Road: a Model of Interaction

2021 ◽  
Vol 65 (10) ◽  
pp. 91-102
Author(s):  
N. Rogozhina
Keyword(s):  
Southeast Asia ◽  
Positive Impact ◽  
Political Influence ◽  
The Philippines ◽  
Southeast Asian ◽  
Belt And Road Initiative ◽  
Asian Countries ◽  
Belt And Road ◽  
The Belt And Road ◽  
Southeast Asian Countries

The choice of the countries of Southeast Asia as an example for analyzing the nature of interaction between developing countries and China within the framework of the Belt and Road Initiative is not accidental. The very logic of China’s stated goals of gaining dominant positions in the world economy and politics makes it inevitable that the countries of Southeast Asia located in geographic proximity to it are included in its long-term economic and political plans. The question, however, is to what extent do they meet the interests of the Southeast Asian countries themselves? The solution to this question is the main subject of research in the article. There are objective prerequisites for mutually beneficial cooperation. The Belt and Road projects are viewed by China as a tool for economic expansion into the region with the prospect of taking a leading position there, using the interest of Southeast Asian countries in the inflow of foreign investment to create modern infrastructure, the lack of which narrows their opportunities for further economic growth, maintaining competitiveness and developing integration ties within ASEAN Community. Expert assessments made by international organizations confirm the positive impact of OBOR projects on the economic development of Southeast Asian countries and although today it is too early to draw any conclusions, since the initiative is only at the initial stage of its implementation in the region, nevertheless the case studies presented in the article indicate a mismatch in the positions of the parties on a number of issues related to the financing of projects, their lack of transparency. non-compliance with environmental and social requirements. The support of the initiative on the part of the Southeast Asian countries does not automatically mean their acceptance of the terms of the agreements proposed by China, which are far from always consistent with their national interests and give rise to fears in society about its expansionist intentions. Therefore, in many Southeast Asian countries, participation in OBOR projects is turning into a subject of political discourse, which reflects the presence of disagreements in society and confrontation of interests regarding the advisability of rapprochement with China, given the associated economic and political risks. The countries of Southeast Asia can be conditionally divided into two groups according to their relation to the Belt and Road initiative. The first group includes Indonesia, Malaysia, Singapore, the Philippines, Thailand, Vietnam and Myanmar, whose position can be described as national pragmatism. While supporting the Chinese initiative in general, they nevertheless assess the possible risks of their participation in projects and seek to reduce them. The second group is represented by Laos and Cambodia, whose leadership unconditionally supports the Chinese initiative, guided by the interests of their own survival, which largely depends on Chinese assistance. Therefore, the prospect of falling into a debt trap and increasing economic dependence on the PRC and even the threat of losing sovereignty does not deter them from participating in highly controversial projects from a commercial point of view. Based on the analysis made, the author comes to the conclusion that, given the existing alignment of political forces in Southeast Asia, China can count on promoting its initiative in the region, which, however, does not automatically lead to an increase in its political influence and to the creation of a China-centric model of regional order. Acknowledgements. The article was prepared within the project “Post-crisis world order: challenges and technologies, competition and cooperation” supported by the grant from Ministry of Science and Higher Education of the Russian Federation program for research projects in priority areas of scientific and technological development (agreement № 075-15-2020-783).

scholarly journals The 2030 Agenda for Sustainable Development and China’s Belt and Road Initiative in Latin America and the Caribbean

2019 ◽  
Vol 11 (8) ◽  
pp. 2297 ◽  
Author(s):  
Yuanbo Li ◽  
Xufeng Zhu
Keyword(s):  
Sustainable Development ◽  
Latin America ◽  
Latin American ◽  
Belt And Road Initiative ◽  
2030 Agenda ◽  
Belt And Road ◽  
Development Goals ◽  
The Caribbean ◽  
Political Economic ◽  
The Belt And Road

During the initial implementation of the 2030 Agenda for Sustainable Development (the 2030 Agenda), the Second Ministerial Meeting of the Forum of China and the Community of Latin American and Caribbean States (CELAC) was held in Santiago, Chile, in January 2018. During this forum, China officially invited 33 countries in Latin America and the Caribbean (LAC) to join the Belt and Road Initiative (BRI). This study links three important global governance issues: The 2030 Agenda, China-LAC relations and BRI. The authors attempt to analyze how China’s BRI in the LAC region can learn from the 2030 Agenda of the United Nations with 17 sustainable development goals (SDGs). This study shows that although China and the LAC region have strong political, economic and trade relationships, they must deepen dialogues and cooperation on sustainable development, especially the 2030 Agenda with 17 SDGs, which can be inspirations for China’s BRI in this region. BRI, which aligns with the 2030 Agenda and contributes to Chinese experience in development, can generate new opportunities for the LAC region to implement such an agenda. However, the challenges and risks of BRI cannot be ignored, and adequate answers and solutions should be provided to allow BRI to achieve a win–win outcome for China and LAC countries. The authors also examine the alignment of China’s policies towards LAC and BRI with the 2030 Agenda (17 SDGs) and the involvement of each SDG in these policies as the 2030 Agenda (17 SDGs) should be considered in policy-making for China’s BRI in the LAC region. Moreover, on the basis of previous analyses, suggestions for a successful BRI in the LAC region in six sectors are proposed in the context the 2030 Agenda.

scholarly journals Aligning China’s Belt and Road Initiative with Saudi Arabia’s 2030 Vision: Opportunities and Challenges

2018 ◽  
Vol 04 (03) ◽  
pp. 363-379
Author(s):  
Juan Chen ◽  
Meng Shu ◽  
Shaobiao Wen
Keyword(s):  
Development Strategy ◽  
Financial Integration ◽  
Strategic Alignment ◽  
Policy Coordination ◽  
Economic Security ◽  
Belt And Road Initiative ◽  
Government Officials ◽  
Social Risks ◽  
Belt And Road ◽  
Political Economic

Based on an examination of mutual perceptions between China and Saudi Arabia toward each other’s development strategy, especially through the lens of government officials, journalists, and scholars, this article argues that great progress has been achieved in key areas of strategic alignment between China’s Belt and Road Initiative (BRI) and Saudi Arabia’s 2030 Vision, including policy coordination, infrastructure connectivity, unimpeded trade, financial integration, and people-to-people exchanges. Meanwhile, political, economic, security and social risks remain prominent in the process of China-Saudi strategic alignment which need to be managed by appropriate measures.

scholarly journals Laos and China's Belt and Road Initiative – Gains and Losses

2021 ◽  
pp. 166-173
Author(s):  
Natalia G. Rogozhina ◽  
Keyword(s):  
Southeast Asia ◽  
Belt And Road Initiative ◽  
Short Term ◽  
Local Elite ◽  
Strategic Plans ◽  
Road Project ◽  
Belt And Road ◽  
Gains And Losses ◽  
Railway Construction Project

The article analyzes the consequences of Laos' participation in the Chinese Belt and Road Initiative. The benefits acquired and possible losses are assessed. The construction of a railway in Laos, linking it to China, is the most successful Belt and Road project in Southeast Asia, which has a special place in China's strategic plans. The railway construction project is of great economic importance for Laos and in the future can stimulate its economic growth. At the same time, there is a risk of falling into debt dependence on China. The ability of Laos to meet its debt obligations will depend on the profitability of the project, which, however, raises many questions, since the project is more focused on the short-term interests of China than on the long-term interests of Laos. Whether Laos will be able to economically benefit from the construction of the railway remains questionable. But there is no doubt that China will benefit. China will not only strengthen economic presence in this country, relying on the support of the local elite, but also use Laos as a springboard to move deeper into Southeast Asia.

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