Investing in Sub-Saharan Africa: The Growing Presence of China Investment in Sub-Saharan Africa

Abstract

In the paper we review Chinese foreign direct investment in Africa, which have increased significantly in the last decade. The pattern and magnitude of China’s outward foreign direct investment (FDI) to Sub-Sahara African countries of operations is examine. We first analyse the recent trends of China’s outward FDI, with sectoral and geographical distributions, and then looks at the characteristics and activities of Chinese multinational enterprises and assesses their key motives for investing in the region. This report discusses how Africa could take advantage of the untapped opportunities offered by China’s progressively intensifying investment and trade ties with SSA. It is hoped that this analysis will enrich the ongoing dialogue between policy makers, private firms, and civil society regarding China’s increasingly important role in the growth and development of Sub-Saharan Africa.

Keywords: China, Investments, Minerals, Resources, Sub-Sahara Africa