Sunday, April 6, 2025

Chinese Loans for Africa Focus on Less Risk and More Sustainable Investment

Dialogue Earth published on 31 March 2025 a study titled "Power Plays: China's Changing Energy Financing in Africa" by Wu Tianyi.

The nature of Chinese bank loans to Africa is changing. Major Chinese policy banks such as the China Development Bank and Export-Import Bank of China are decreasing financing while commercial banks such as the Industrial and Commercial Bank of China and the state-owned Sinohydro are increasing financing.  This change represents a diminished appetite for risk and prioritizing of sustainable investment.