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The Belt and Road Initiative-Based Cooperation between China and Kenya: Current Situation, Challenges and Policy Options (No.56, 2019)

May 24,2019

By Zhou Taidong & Shen Qiu, China Center for International Knowledge on Development (CIKD)

Research Report, No.56, 2019 (Total 5556) 2019-4-22

Abstract: Kenya is one of the major countries with strategic position along the Belt and Road routes and China and Kenya have conducted pilot projects relating to industrial construction. The Belt and Road Initiative-based cooperation between China and Kenya has yielded fruitful results with promising prospects, whereas there are some hurdles curbing the cooperation. For instance, the cooperation in infrastructure construction between China and Kenya is claimed to be the main reason leading to the increase of Kenya’s indebtedness; the Chinese enterprises are facing multiple risks in their investment due to poor business environment in Kenya; the fierce competition between Chinese enterprises needs to be softened and the quality of localized operation needs to be improved; the ways of loans provision and means of assistance need to be fleshed out; some African think tanks’ research results on Sino-African cooperation have a limited impact on public opinion, and their comments are highly susceptible to Western news media’s influence. It is advisable to pool resources from various circles to actively deal with the problem of debt issues in a constant manner; take measures to improve the business environment of Chinese-funded enterprises in Kenya; summarize and disseminate the advanced practical experience gained by Chinese-funded enterprises in their work so as to cultivate a positive image of Chinese enterprises; promote the institutional reform in pushing ahead with foreign aid projects while taking into account both interests and obligations; and enhance relevant knowledge cooperation between China and Kenya to share development experience and knowledge in common.

Key words: the Belt and Road Initiative, cooperation between China and Kenya, Kenya