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Explainer | Explained: Belt and Road Initiative

  • Supporters laud it as a bold initiative that fulfils the needs of emerging markets for infrastructure investment
  • But critics warn of a lack of transparency and sustainability, while some countries have re-evaluated deals

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Security forces near a sign that reads “First Pakistani Branch in China” in Gwadar. Photo: Bloomberg
The “Belt and Road Initiative” is a vast China-centred strategy to grow global trade that involves dozens of countries and more than US$1 trillion in investment.

It spans Asia, Europe and Africa, although projects in other regions have also been named under its banner.

Supporters laud it as a bold plan to fulfil the need among emerging markets for infrastructure investment, which Beijing has promoted as a way to boost regional cooperation and connectivity.

But critics warn about a lack of transparency and sustainability with some of the projects – including major ports and high-speed railway networks. There are also concerns that Chinese companies are the sole beneficiaries of the initiative.

How big is it?

The concept of a new “Silk Road” connecting China with the rest of Asia, Europe and Africa was first proposed by Chinese President Xi Jinping in 2013. The “belt” refers to overland trade routes throughout Central Asia, while the “road” actually alludes to sea lanes connecting Southeast Asia with Africa and Europe.

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