The International Information Center for Structural Engineers

Wednesday, 29 April 2015 03:04cat

China Continues Extreme Investment in Africa

Written by  TheStructuralEngineer.info
China Continues Extreme Investment in Africa Ventures Africa

Worth a total of almost $5.5 billion, the China Railway Construction Corporation (CRCC) has signed two railway construction deals in Africa. CRCC is tasked with building a $3.5 billion intercity railway line in Nigeria’s southwestern Ogun State and a $1.93 billion residential construction project in Zimbabwe. These projects will help promote the expansion of China’s presence across the continent, while making its firms more competitive globally. This will also tighten China’s grip on Africa’s infrastructure economy.

In August 2014 the railway company completed the construction of Angola’s longest railway, at 1,304 km. The line is stretched between Lobito (Benguela) and Luau (Moxico). The contract involved rebuilding 67 stations, has the capacity to move over 20 million tons of cargo per year and will have 50 trains with the possibility of 4 million passengers per day.

These deals are a “stepping stone” towards a “going global” strategy of China’s railway firm, claims CRCC chairman Meng Fengchao. Over the last decade, China has moved aggressively to secure government projects across Africa. The Asian company is currently developing the $58 billion ECOWAS railway that will connect Nigeria, Benin, Togo and Ghana to Cote’D’Ivoire. The company is also building the new international terminal at the Murtala Mohammed Airport in Lagos.

China has invested more than $200 billion in to Africa since 2001, more than double the $98 billion invested into Africa by the United States. China’s investment total is the largest financial commitment to Africa by a single country.

 

Source  Ventures Africa

Read 1097 times

The StructuralEngineer.info News Center is being funded by our Annual Corporate Sponsors " (learn more):