China s Foreign Assistance and its relationship with Japan Center for Strategic and International Studies (CSIS) Naohiro Kitano, JICA March 10, 2011
Educational Exchanges to Study Engineering International Development Foreign Students at Tsinghua University 1982 Foreign Students at Tsinghua University 2010 Source: http://www.sppm.tsinghua.edu.cn/english/news/26efe48927d2298f0128002538890019.html
Overview of Economic Support to China ODA loan: cumulative: USD 33.16 billion, 231 projects Grant aid: FY2009: USD 13.5 million; cumulative: USD 1.54billion Technical cooperation (JICA basis*): FY2009: USD 32.6 million; cumulative: USD 1.70 billion JICA projects through FY2009 25,122 training participants accepted 2,500 Note: assuming USD 1.00=JPN 100 2,000 (USD million) 1,500 1,000 Tech. Coop. Grant ODA Loans 500 Source: JICA 0 1980 1982 1984 1986 1988 1990 1992 1994 Fiscal Year 1996 1998 2000 2002 2004 2006 2008
Japanese ODA Loans and Technical Cooperation to Coal Transport System in Northern China Qingdao Source: Kitano, Japanese Contribution in Supporting China s Reforms: A Study Based on ODA Loans, China Report 40: 4 (2004) etc.
Qingdao Special Economic Zone Access Highway: Completed in 1995 1985 2009 Source: http://kxfz.people.com.cn/gb/155762/162996/9998378.html Ethiopian Eastern Industrial zone? 1985 2011 2035
China s Aid Delivery System Source: Kobayashi (2008) Evolution of China s Aid Policy http://www.jbic.go.jp/en/research/report/working-paper/pdf/wp27_e.pdf
China s lending volume Expenditures for External Assistance increased from $1.2 bn in 2006 (Expenditures) to $2.1 bn in 2010 (Budget). Note: assuming USD 1.00 = Yuan 7.00 Source: various issues of the Finance Year Book of China "International cooperation will be CDB's key operational development focus. The CDB will expand international cooperation, with a target of forex loans of $ 500 bn in the next 5 years. Thus new forex loans will increase to an average of $100 bn each year in the next five years, doubling the new forex lending of 2010 (In 2010, CDB's new forex loans amounted to $ 43.4 bn, with projects covering 90 countries). Source:http://finance.caing.com/2011-02-10/100224316.html
Cross-border infrastructure between China and Central Asia (Including those in progress or under consideration) Legend Road Railway Oil pipeline Natural gas pipeline Transmission line Georgia Astana Armenia Yerevan Azerbaijan Tbilisi Baku Caspian Sea Teheran (Iran) Turkmenistan Aral Sea Uzbekistan Ashgabat Samarkand Dushanbe (Afghanistan) Kabul Tashkent Kazakhstan Almaty Bishkek Kyrgyz Republic Tajikistan (Mongolia) Ulaanbaatar (China) Beijing Islamabad (Pakistan) New Delhi Kathmandu Thimphu (Nepal) (India) (Bhutan) Source: Kitano (2011) Deepening relationship between China and Central Asia, in The Impact of the Rise of China on the World Order (Japan Center for Economic Research, in Japanese) Capital Border
Outline of bilateral economic and trade committees between China and Central Asian countries Country Establishment of diplomatic relations Good-neighbor friendly cooperation treaty Economic and trade agreement Investment incentives and mutual protection treaty Economic and trade committee Source: Kitano (2011) Kazakhstan Kyrgyz Republic Tajikistan Turkmenistan Uzbekistan Jan. 3, 1992 Jan. 5, 1992 Jan. 4, 1992 Jan. 6, 1992 Jan. 2, 1992 2002 2003 2007 Economic and Trade Cooperation Agreement (ETCA) 2004 ETCA 2005 1992 1992 1992 1992 1992 1993 1992 1992 The Economic, Trade, Scientific and Technological Cooperation Committee held meetings at the vice-president level six times (1993, 95, 96, 98, 2000, 02); the Cooperation Committee held meetings at the vicepresident level five times (04, 05, 06, 07, 09). The Economic and Trade Cooperation Committee held meetings eight times (1995, 98, 99, 2002, 03, 04, 06, 09). The Economic and Trade Joint Committee held meetings four times (2001, 04, 06, 08). The Cooperation Committee held a meeting at the vice-president level (2010). The Economic Cooperation Committee held meetings eight times (1995, 98, 99, 2002, 03, 04, 06, 09).
Billion US# 40.00 Changes in China s trade volumes with Central Asian countries 35.00 30.00 30.82 25.00 23.55 Turkmenistan 20.00 19.66 Tajikistan Uzbekistan 15.00 10.00 8.73 12.06 Kyrgyz Republic Kazakhstan 5.00 2.38 4.07 5.85 0.00 2002 2003 2004 2005 2006 2007 2008 2009 Year Source: JICA China Office (2009) etc.
China s investments in Central Asia (Stock basis) USD million 2005 2006 2007 2008 2009 Ratio to total (%) Kazakhstan 245 276 610 1,402 1,516 67% Kyrgyz Republic 45 125 140 147 284 13% Tajikistan 23 30 99 227 163 7% Uzbekistan 12 15 31 78 85 4% Turkmenistan 0 0 1 88 208 9% Central Asia Total 325 446 881 1,942 2,256 100% Source: Kitano (2011)
China s economic cooperation in Central Asia Year Kazakhstan Uzbekistan Tajikistan Kyrgyz Republic Turkmenistan 1992 1993 1994 1996 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Economic and technical cooperation agreement Source: Made based on Kitano (2011) Grant Aid Either interest free or preferential loan (framework) agreement
JICA s President met with China's Vice Premier in December 2009
Road improvement in Tajikistan supported by ADB, JICA, and China ExIm Bank Asian Highway 7 (AH7) Kazakhstan The The roads roads between between Nizhniy Nizhniy Pyandzh and and Dusti Dusti (23.7 (23.7 km) km) and and between between Dusti Dusti and and Kurgan Kurgan Tyube Tyube (42 (42 km), km), which which run run along along the the Afghan Afghan border, border, have have been been improved by by Japan s Japan s grant grant aid aid projects. Uzbekistan Kyrgyz Kurgan Tyube Export-Import Bank of China Dushanbe, capital of Tajikistan Asian Development Bank (ADB) Tajikistan China Dusti Nizhniy PyandzhAfghanistan Pakistan Bridge across Afghan border (supported by the US) Roads improved by Japan s grant aid projects Source: JICA (Safety improvement and traveling performance reduction in transit time, distribution of physical and human traffic, revitalization of social and economic activities) Functions will be demonstrated as wide-area highways.
JICA s Partnership Activities with China Joint Workshop with China Eximbank in Jan.2009, and March 2010 Seminar for staff members of Ministry of Commerce on Development Assistance in Oct. 2010 The Third Country Training Program (TCTP) with China on Environment in Dec. 2010 Joint Workshop with Chinese Academy of Agricultural Science in Jan.2011 Participated in the Second Roundtable on China- Africa Health Collaboration in Feb. 2011 Member of the China-OECD(DAC)Study Group 2009-2011 15
China-Africa Cooperation in Agriculture Agricultural Technology Demonstration Centers (14 countries) Benin Source: http://bj.mofcom.gov.cn/aarticle/todayheader/201003/20100306820105.html http://bj.mofcom.gov.cn/aarticle/ddfg/201103/20110307436655.html. etc
JICA s Support Activities in Rice Development under the framework of Coalition for African Rice Development (CARD) Source: JICA Benin New Rice For Africa (NERICA) Experts in Africa Rice Center (AfricaRice) * *Supported by the Consultative Group on International Agricultural Research (CGIAR).
IMF WB Voting Right Fin. Contri. Trust Fund Will be No.3 Will be No.3 MOU Region Dialogue Capacity Dev. Regional Coope -ration South South Cooperation Cofinanc ing Hea -lth Poverty Reduction Agriculture Private Sec -tor Debt Sustainability Africa Environ -ment CExim Africa Asia ADB No.3 CExim Asia AfDB CExim, CDB Africa IDB CExim Latin America UNDP MOFCOM Africa FAO MOA Africa Global Fund Global EU Africa OECD DAC Africa USAID Africa DFID MOA Africa AFD Africa AusAID Asia JICA Int. NGOs Gates Foundation Promoting Partnership with China Africa Asia Africa Asia Africa Asia Source: Made based on the public information of each organization, etc.
JICA s Partnership Activities with Asian Donors Joint Seminar among JICA, China Eximbank, Korea Eximbank (EDCF), NEDA (Thailand) - the first attempt to share experiences and challenges among East Asian donors in Oct. 2010 China: the Export-Import Bank of China Korea: the Economic Development Cooperation Fund of the Export-Import Bank of Korea Thailand: the Neighboring Countries Economic Development Cooperation Agency Source: http://www.jica.go.jp/english/news/press/2010/101101_03.html 19
Thank you!