Scoping study on China - Africa economic relations : the case of Kenya; final report
Date
2008
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Publisher
Institute for Development Studies, University of Nairobi, Nairobi, KE
Abstract
This study analyzes the extent of China’s Trade, Foreign Direct Investment (FDI) and aid in Kenya. China’s rapid expansion of aid to Kenya, and the lack of aid conditionalities may lead to overshadowing of aid from traditional Western donors where the ‘no political strings’ attached policy has raised much debate. In general, Chinese aid is closely bundled with infrastructural projects, often linked to the extraction and export of minerals and oil to China. These factors indicate that aid might hurt Kenya in the long-run. As well, Chinese interest extended to mining and minerals exploration includes very limited joint ownership or local capital.
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Keywords
FOREIGN AID, FOREIGN INVESTMENT, FOREIGN TRADE, BALANCE OF TRADE, ECONOMIC IMPLICATIONS, SOCIAL IMPLICATIONS, CHINA, KENYA