The African continent, long exploited by resource-hungry European countries and troubled by political and economic instability, has become a growing market for investors. One country increasingly interested in receiving a beneficial share of Africa’s growing wealth is now Africa’s largest trading partner: China.

Sino-African relations were reintroduced in the late 1950s when China signed a bilateral trade agreement with several African countries. Over the past few decades, China has significantly invested in Africa, evidently undeterred by the country’s abundance of political and social risks. In 2009, China became Africa’s largest trading partner, thus exceeding the United States. The editors of China Returns to Africa, published by Columbia University Press, remarked, “The overarching driver has been the Chinese government’s strategic pursuit of resources and attempts to ensure raw material supplies for growing energy needs within China.”

China buys more than one-third of African oil. The International Energy Agency released a PDF in 2011 that concluded that China, by the year 2020, will become the world’s largest net importer of oil. Also, China’s net imports in 2011 were nearly five million barrels a day. By 2035, that number will rise to roughly 13 million barrels a day.

An integral part of China’s foreign policy is to not interfere with the domestic affairs of another country. Thus, China does not interfere with the business of African governments. While refraining from prodding into the businesses of the governments, China gives African governments grants and low-cost loans to ensure the security of natural resources for their country.

Western governments, on the other hand, see a need to interfere with the practices of African governments, mainly because the West wants to promote democracy, enforce human rights, and reduce corruption. The West will only give loans to Africa if they take initiative on the aforementioned key ideas being promoted.  African governments, as a result, are more welcoming to China. As African countries become even closer to China, the pressure to reform from Western governments will matter less and the influence the West once held over this vast continent will slowly dissipate.

2013 CORRUPTION PERCEPTIONS INDEX  CREDIT: WIKIMEDIA COMMONS
2013 CORRUPTION PERCEPTIONS INDEX
Dark Blue: 90-100
Medium Blue: 80-89
Aqua: 70-79
Yellow: 60-69
Orange: 50-59
Coral: 40-49
Red: 30-39
Burgundy: 20-29
Brown: 10-19
Black: 0-9
Gray: No information

Credit: Wikimedia Commons

With the West’s diminishing influence, China now has the power to impact Africa, unless it becomes “…the latest in a series of colonial and neocolonial powers in Africa, destined like the others to leave its own legacy of bitterness and disappointment,” as said by Howard W. French in “The Next Empire” for The Atlantic.

African leaders assert that Africa’s close relationship with China benefits both parties. Trade between Africa and China in 2013 exceeded $200 billion. Chinese investment in Africa has helped create high economic growth. This year, economic growth is predicted to be 4.7%. In 2015, the number will rise to 5%. China, along with African resource-backed loans, has also financed many infrastructure projects. These include the creation of government buildings, power plants, and methods of transportation, such as rail roads.

“With approximately 60 percent of Africa’s population under age 24, foreign investment and job creation are the only forces that can reduce poverty and stave off the sort of political upheaval that has swept the Arab world. And China’s rush for resources has spawned much-needed trade and investment and created a large market for African exports — a huge benefit for a continent seeking rapid economic growth.” Dambisa Moyo wrote in The New York Times.

Moreover, Chinese companies are encouraged by China’s huge presence in Africa to freely underbid local firms and not employ African workers. Additionally, when Chinese companies have decided to hire African workers, the companies have been criticized many times for not sustaining fair labor relations.

China’s willingness to accept bribery and its little or no requirements for giving aid severely challenges global efforts to end the cycle of bad governance and corruption in Africa, as well as efforts to execute regional economic reforms.

Additionally, since China is not known for promoting human rights to other countries, it does not mind selling arms to the African continent. This practice helps offset the price of buying oil from African countries and pleases African leaders. China even sees Africa as a growth market for its weaponry. In addition, these weapons provide security for the excavations of natural resources.

The Council on Foreign Relations noted, “Some analysts say China’s efforts in Africa–from building infrastructure to forgiving billions in debt to providing medical support–are for building goodwill for later investment opportunities or stockpiling international support for contentious political issues.” While providing infrastructure to Africa will help the country immensely, the primary problem in Africa is the lack of proper governance. Without adequate governance, the benefits of having better and more infrastructure do not reach their maximum impact.

China is the new West to Africa. China is taking Africa’s natural resources and then selling the manufactured ones to Africa or other parts of the world, which is similar to what the past colonial powers invested in Africa did. In fact, former Secretary of State, U.S. Senator, and First Lady of the United States, Hillary Rodham Clinton, gave a speech in Zambia in 2011 about the threat of “new colonialism”, which was an indirect reference to China. She said, “We saw that during colonial times, it is easy to come in, take out natural resources, pay off leaders and leave.”

However, times are changing. The New York Times found that, “China wants Africa’s oil as much as ever. But instead of accepting the old terms, which many African officials call unconditional surrender, some cash-starved African states are pushing back, showing an assertiveness unthinkable until recently and suggesting that the days of unbridled influence by the African continent’s mega-investor may be waning.”

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