China has become an increasingly important player in the global stage, and the presence of Chinese finance in the development sector cannot be underestimated. Between 2005 and 2018 China invested an estimated US$2 trillion through loans and grants for development projects in Asia, Africa, Central and Eastern Europe, and Latin America. Chinese banks such as China Development Bank (CDB), the Export-Import Bank of China (Exim), the Bank of China ,and the Industrial and Commercial Bank of China (ICBC) have played a considerable role in these investments, with loans and grants to Chinese companies operating in the energy, transportation, mining, and communication sectors. This trend will only continue, especially with China’s ambitious Belt Road Initiative, an economic and strategic agenda to connect Europe and Asia, as well as Africa and Oceania, through overland and maritime routes and has received investment from CDB, ICBC, and Exim Bank.
Local communities in Asia, Africa, and Latin America have raised a variety of concerns with Chinese investments – from lack of transparency and accountability, to the fact that often these investments employ Chinese labor and materials, contributing little to the local economy. In response to civil society advocacy, the Chinese government has adopted social and environmental policies that outline how Chinese banks should operate when investing abroad, and has committed to improving the human rights record of its investment activities. The Coalition is working to connect civil society groups around the world impacted by Chinese finance to find ways to increase transparency and to build effective avenues to demand respect for the rights of affected communities.
Analysis
- Friends of the Earth and Bank Track – China Development Bank’s overseas investment: An assessment of environmental and social policies and practices
- Friends of the Earth – China Development Bank and China Export-Import Bank – 2016
- China-Latin America Sustainable Investment Initiative (CLAII)
- Bank Track
- CICDHA (Colectivo sobre Financiamiento e Inversiones Chinas, Derechos Dumanos y Ambiente) – Civil Society’s Evaluation of the Extraterritorial Obligations of the People’s Republic of China: Case studies from Argentina, Bolivia, Brazil, Ecuador and Peru
- Report of the Working Group on the Universal Periodic Review – China – 2018
Official Policies and Guidelines
- CDBC – 12 Green Guidelines: CDBC’s green and smart urban development guidelines – 2015 (scroll down for English and Chinese versions)
- State Council’s Nine Principle on Encouraging and Standardizing Enterprises’ Cooperation in Foreign Investment – 2006
- State Council’s Guide on Social Responsibility for Chinese International Contractors – 2012 (scroll down for ENG)
- Guidelines for Environmental Protection in Foreign Investment and Cooperation – 2013
- Vision and Actions on Jointly Building Silk Road Economic Belt and 21st-Century Maritime Silk Road – 2015
- Building the Belt and Road: Concept, Practice, and China’s Contribution – 2017
- The Belt and Road Ecological and Environmental Cooperation Plan – 2017
Tools and Resources
- Inclusive Development International’s Safeguarding the People and the Environment in Chinese Investments: A Reference Guide for Advocates – 2019
- EPU 2018 – Vulneraciones a los derechos de los pueblos indigenas en la cuenca amazonica por inversiones China – 2018 (Spanish)
- CLASII – Legal Manual on Chinese Environmental and Social Guidelines for Foreign Loans and Investments: A Guide for Local Communities – 2015
- Friends of the Earth – Going Out, But Going Green? Assessing the Implementation of China’s Green Credit Guidelines Overseas – 2015
- International Rivers – The New Great Walls: A Guide to China’s Overseas Dam Industry – 2012
- The Inter-American Dialogue – New Banks in Town: Chinese Finance in Latin America – 2012.
- China-Latin America Finance Database
- China Global Investment Tracker
