Mapping China’s Trade with Sub Saharan, Africa: A Financing Mechanism


  • Ghirmai T. Kefela


economic integration, trade policy, international migration, Africa, China


Attempt has been made to examine China’s trade with sub-Saharan countries and its impact on African‘s development as a financing mechanism. To achieve this main objective a systematic literature review is carried out. Literature review reveals that China’s financing in Africa is based on bilateral cooperation. China’s aid makes the African continent more attractive: Firstly because like any other western agencies China’s aid does not impose political and economically conditional requirements. Secondly China is investing in the areas because western aid-giving agencies and private investors have since long neglected to provide this region with like physical infra-structure, industry and agriculture. In 2006, China formulated its African Policy Paper, wherein China-Africa bilateral cooperation was focused on: (i) political and economical development, which covers high level visits for trade, investment, finance and natural resources, (ii) human resource developments with focus on education, science, and technology, and (iii) peace and security focusing on military, and conflict settlement. Africa represents an enormous market and urgently needs infrastructure development, which is one of it’s main concentrated objective in aid relations. As a result, their relation is expected to achieve lasting impact on the continent’s development and would transform the commercial engagement between the region and the Asian economic giant.