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This paper assesses the impact of Chinese foreign direct investment (FDI) on welfare in African economies using recently available data on Chinese FDI in 52 African countries between 2003 and 2018. Using fixed effects and instrumental variable (IV) estimations, we find that Chinese FDI contributes significantly to the improvement of welfare in African countries. This positive impact also holds for the sub-sample of Sub-Saharan African (SSA) countries. The results are robust across the fixed effects and IV estimations when variables that affect welfare are controlled for. The findings suggest that China's claim of a "win-win" aim for its rising investment in African countries may hold. [ABSTRACT FROM AUTHOR]

The Chinese expansion in Sub-Saharan Africa that is causing concern in Western capitals was done against the background of the abandonment or the "triage" operated by the former colonial powers on this continent after 1990. Press articles (more or less academic) in search of spectacular, prefers the "zero sum game" perspective instead of the "win-win" one. A political strategy of China in the African area would involve a sacrifice of "economic logic" in favour of "political logic", or investments made under any conditions at prices higher than market conditions would dictate at a particular moment. The analysis of China's political behaviour must avoid the spectacular and be based on facts, figures (as far as they are available and credible) and analogies (cautious) with the evolution of other emerging economies throughout contemporary history. China, which stays and invests where Western companies leave, could not have a bad image in Sub-Saharan Africa. Africa appears as part of a new Geo-strategic rivalry between the West and RP China. This rivalry is desirable to be constructive, to respect the rules of the game and above all to bring about structural transformations for the benefit of ordinary African citizens. [ABSTRACT FROM AUTHOR]

This article examines the question of how China's systemic impact on the world economy and growing presence in sub-Saharan Africa (SSA) affects processes of structural change in SSA countries through the framework of combined and uneven development: Global economic forces can act to perpetuate underdevelopment, but these global forces, of which China's rise in the world economy is one among many, need to be studied in conjunction with the societal forces that mediate them. This article argues that many China-related effects actually work in favor of manufacturing development, but the size and composition of China-related effects vary considerably across countries. Therefore, the article uses cluster analysis to find groups of SSA countries with similar patterns of interaction with China and shows that we do, indeed, observe differences in average manufacturing output growth across these groups. However, the cluster analysis also reveals considerable variations within the groups of countries with similar China-related effects. The article provides a case study on Angola to illustrate the interplay between global factors linked to China and the domestic political economy setting. [ABSTRACT FROM AUTHOR]

This paper examines the locational determinants of China's foreign direct (FDI) investments in Sub Saharan Africa and assesses whether their choice of investment destinations substantially differs from other global players. Using a panel dataset created from recently updated macroeconomic data from the United Nations Conference on Trade and Development (UNCTAD) and the World Bank, I find that China's choices of investment destinations in Africa over the last decade are substantially similar to traditional Western investors. Like other investing countries, China's FDI appears to be largely profit driven and its investments are concentrated in natural resource rich countries with relatively large domestic markets. Much has been made of the fact that, in contrast to other global players, China appears to be indifferent to the existence of stable property rights or rule based governance in the host country (see Chen, Dollar and Tang, 2015 among others). Yet, using regression diagnostics, I find that these findings are incredibly sensitive to outlier countries with substantial Chinese investment. China's sensitivity to property rights and rule of law in Sub Saharan Africa hinges on the inclusion or exclusion of outlier countries like South Africa, Sudan and Zimbabwe. Implications for public policy are explored in the final section of the paper. [ABSTRACT FROM AUTHOR]

China has emerged as the most proactive partner for Africa's growth by offering economic aid, investing in development projects in resource extraction and infrastructure building, and expanding trade. In this regard, a number of studies have recently explored China's growing--yet still nascent--manufacturing investments in sub-Saharan Africa, which the World Bank hopes to see further expanded so as to ignite local industrialization. These studies look mainly at the Africa-side (host) conditions. In contrast, this paper stresses China-side (home) factors and examines the institutional issues involved in this hoped-for scheme of industrial transplantation. The central question addressed is whether the World Bank's wish will actually come true. China's potential in this scenario is assessed in terms of the "flying-geese" growth model that explains how comparatively disadvantaged industries in such a rapidly catching-up economy as China's may be transplanted overseas. This article concludes that at the moment, China's capacity to transform the sub-Saharan region into a vibrant manufacturing base via foreign direct investment (FDI) is still underdeveloped and quite limited. [ABSTRACT FROM AUTHOR]

Dans le cadre de l'intérêt porté aux impacts des investissements chinois en Afrique sub-saharienne (ASS), cet article porte sur l'engagement de ces pays africains dans un partenariat avec des grandes entreprises d'Etat chinoises qui investissent dans les secteurs d'infrastructures et de ressources naturelles. Après avoir démontré l'ampleur des différents types d'investissements chinois, l'attention porte sur les caractéristiques propres à ces grandes entreprises publiques. Ces investissements chinois sont étroitement liés à l'aide et au commerce. L’article conclut que les pays d’ASS devraient adopter une réponse également intégrée et ciblée vis-à-vis les investisseurs chinois ainsi qu’aux autres investisseurs à grande échelle qui cherchent à exploiter leurs ressources afin de maximiser les opportunités qui leur sont offertes du fait des dotations en ressources naturelles du continent.European Journal of Development Research (2009) 21, 551–569. doi:10.1057/ejdr.2009.24 [ABSTRACT FROM AUTHOR]