As growth in China slows, the nation is looking to crank up its credit machine and allow its banks to lend as much as they desire in a move to help boost economic growth. In one of its boldest and riskiest steps in banking reform, China is moving to end a two-decade-old banking rule that has capped lending relative to deposits. Late on … Continue reading
“African nations are taking steps toward creating a free-trade zone with a combined size of $2 trillion, as heads of state meet in Johannesburg (South Africa) this week,” Bloomberg reports. Talks on removing the barriers to trade and the movement of people between the continent’s 54 countries will begin on June 15 at the African … Continue reading
By Martin De Angelis A recently signed tri-lateral agreement between China, Peru and Brazil set hopes for a bi-oceanic railway corridor. If feasible, the project would significantly reduce trade costs and shipping times to China. On May 23rd, China’s Prime Minister Li Keqiang met with Peruvian President Ollanta Humala to sign the implementation of feasibility studies on a bi-oceanic … Continue reading
By David Dollar The notion of a ‘middle-income trap’ has entered the lexicon of policymakers in emerging markets in Asia and elsewhere. Many leaders of countries that have experienced fast growth — such as Chinese Premier Li Keqiang — worry that economic growth will come off the boil as their countries reach middle-income status. Growth … Continue reading
“China announces plans to boost the Belt and Road trade by creating economic corridors and investing nearly $900 billion in countries along the route,” China Daily reports. China plans to connect Asia and Europe with funding from the Asian Infrastructure Investment Bank (AIIB) and the Silk Road Fund. Vice-Premier Zhang Gaoli said the country is considering six economic … Continue reading
By Pepe Escobar It started in April with a rash of deals between Argentina and Russia during President Cristina Kirchner’s visit to Moscow. And it continues with a $53 billion investment bang as Chinese Premier Li Keqiang visits Brazil during the first stop of yet another South American commercial offensive – complete with a sweet metaphor: … Continue reading
By Andrew Korybko Chinese Premier Li Keqiang is visiting South America, and it’s expected that he’ll formalize its regional version of the Silk Road, the Twin Ocean Railroad, during his trip. This far-reaching project endeavors to construct a 5,300 km railroad from Brazil to Peru, traversing some of the world’s most difficult and sensitive terrain. Along … Continue reading
India and China have deepened bilateral ties and inked a total of 50 deals worth around $32 billion on Friday and Saturday during Indian Prime Minister (PM) Narendra Modi’s inaugural visit to China as PM of India. On Friday, India and China signed 24 bilateral agreements worth $10 billion in areas such as education, space exploration, mineral resources, and railway systems. … Continue reading
By Dr. Willy Wo-Lap Lam Much of the world’s interest in China’s “One Belt, One Road” (OBOR) strategy—a reference to the Silk Road Economic Belt (SREB) and the 21st Century Maritime Silk Road (MSR)—is focused on the geopolitical implications of one of the most ambitious initiatives of Chinese President Xi Jinping. Yet OBOR also has immense … Continue reading
China is set to invest $50 billion in new infrastructure projects across Brazil in a move that could be a big boost to bilateral ties. “There are about $50 billion in new projects. We need to wait till the end of the visit to specify the [exact] figures and what kind of projects it will be,” Brazil’s Foreign Minister Jose Alfredo Grasa Lima told … Continue reading