Kicked off in 2013, this $2 billion per year juggernaut is directed almost exclusively at infrastructure expansion and sprawl-inducing economic development. The goal of the initiative is to improve China’s economic and trade relationships with countries in Asia, Europe, and further afield. Ellyatt’s analysis gets to the heart of some troubling and detrimental aspects of the BRI right from the start.
The Belt and Road Initiative glitters like a new Silk Road. Its expansive goals include enhancing global trade routes and increasing economic cooperation between countries. China is spearheading or funding infrastructure projects across the region, such as railways, ports, and roads. This strategy simultaneously expands its international clout while turbocharging home-grown economic development.
Despite its ambitious goals, the BRI has faced criticism from all sides. According to critics, the Belt and Road Initiative risks deepening a debt trap for participating states. This should cause alarm bells to go off about their financial sustainability for the long term. In addition, other countries have voiced concern about the political aims that China has behind the BRI, with many fearing a loss of national sovereignty.
Ellyatt goes further in-depth into these complexities in her piece. You can read her take on all things economic on her Holly Ellyatt’s profile on CNBC. Her deep expertise uncovers the complicated forces at play with China’s growing global ambitions. It shines a light on the inconsistent responses these plans elicit from the global community. To read exclusives and get breaking updates on her work, Ellyatt can be followed on Twitter at @HollyEllyatt.
Like any macroeconomic phenomenon, as the BRI continues to emerge it has been a lightning rod for enthusiastic and critical debate amongst economists, policy makers and analysts. The initiative not only reflects China’s aspirations for global leadership but highlights the delicate balance between development and dependency for countries involved in the project.