BRI projects are slow, but lending rises

• In the first half of 2022, China’s investments and contracts in 147 countries amounted to $28.4 billion
• China’s investments in infrastructure projects under its Belt and Road Initiative (BRI) have declined while Beijing’s short and medium-term assistance to partner countries is increasing.

Highlights

• Of this, $11.8 billion was through investments and $16.5 billion through project contracts.
• This marked a decline from $48.5 billion in the same period in 2019.
• Since the launch of the BRI in 2013, the report estimated China’s total engagement at $932 billion, with $561 billion in construction contracts and the rest in other investments.

The report noted three clear trends in the BRI:

• A growing role for Chinese State-owned Enterprises;
• The average size for project deals falling, from $558 million in 2021 to $325 million last year;
• An increasingly uneven spread of engagement.

Prelims Take Away

• BRI
• India China border issues