China-Africa Economic and Trade Cooperation (2013)

V. Stressing African People's Livelihoods and Capacity Building

Africa has sustained rapid economic growth in recent years, but it still faces severe development problems and the difficult task of accomplishing the UN Millennium Development Goals. While seeking to advance its own development, China tries to offer what assistance it can to Africa without setting any political conditions, and to benefit African people through developmental advances. In recent years, China has implemented measures adopted at the FOCAC ministerial conferences, actively developed cooperation with Africa in areas relating to public amenities, medical and health care, climate change and environmental protection, humanitarian aid, and other fields. China has also strengthened cultural and educational exchanges and scientific and technological cooperation in an effort to improve Africa's ability to develop independently.

Helping build public amenities. China has offered assistance to Africa in digging wells for water supplies, and in building affordable housing, broadcasting and telecommunications facilities, and cultural and educational sites in an effort to improve the productive and living conditions of local people. Since 2009, China has carried out dozens of well-digging projects in the Sudan, Malawi, Zimbabwe, Djibouti, Guinea and Togo, playing a positive role in easing water problems for local people. It has also provided support for the building of portable dwellings in South Sudan, school houses in Benin, and rural schools in Malawi, and in doing so, improved local living conditions and educational facilities. China's largest aid project in the Central African Republic is the construction of the Boali No.3 Hydropower Station, which, after it is completed, will greatly relieve electricity shortages in Bangui and surrounding areas.

Advancing cooperation in medical and health care. From 2010 to 2012, China helped build 27 hospitals in Ghana, Zimbabwe and other African countries. China has also sent 43 medical teams to 42 African countries and regions, treating over 5.57 million patients. In recent years, in addition to building hospitals, donating drugs and organizing medical training programs, China has also launched an initiative, "Brightness Action," to treat cataract patients, provided mobile hospitals, built bilaterally-run eye centers, and helped build demonstration and training centers for diagnosis and treatment technologies, effectively advancing Sino-African cooperation in medical and health care.

Working together to address climate change. Environmental protection and climate change are two developmental topics that the world must face, and Africa needs special assistance from the international community in these areas. China pays a great deal of attention to its cooperation with African countries in the field of climate change. Since November 2009, China has carried out more than 100 clean energy projects in African countries, including biogas technology cooperation with Tunisia, Guinea and the Sudan, hydropower generating facilities in Cameroon, Burundi and Guinea, and solar and wind power generation in Morocco, Ethiopia and South Africa. China has also donated energy-efficient lamps, air conditioners and other materials in response to climate change to Nigeria, Benin and Madagascar. All of these measures have greatly raised the ability of African countries to respond to climate change.

Offering emergency humanitarian aid. In keeping with humanitarian values, China always offers what materials or cash it is able to give for emergency aid to African countries that suffer from political disorder or have experienced natural disasters. In 2011, China provided 50 million yuan in emergency aid to Tunisia and Egypt to ease the humanitarian crisis caused by refugees stranded in the areas bordering Libya. When a famine worst in 60 years broke out in the Horn of Africa in the same year, China provided the affected countries with emergency aid in the form of grain and cash. In total, this aid was worth more than 400 million yuan, the biggest amount of food aid that the Chinese government has provided since the founding of the People's Republic of China in 1949. In 2012, China granted food aid to affected countries in the Sahel region of Africa.

Supporting cultural and educational exchanges. Cultural and educational exchanges make up an important part of the new type of strategic partnership between China and Africa. By supporting young Africans studying in China, sending young Chinese volunteers to Africa and developing joint research initiatives, China tries to promote mutual understanding between China and African countries and strengthen the social foundation of their friendship. From 2010 to 2012, China granted 18,743 government scholarships to students from African countries. By the end of 2012, China had sent 408 young volunteers to 16 African countries, including Ethiopia and Zimbabwe. Twenty pairs of leading Chinese and African universities have begun cooperating under the 20+20 Cooperation Plan for Chinese and African Universities. From the launch of China-Africa Joint Research and Exchange Plan in March 2010 to the end of 2012, it had supported 64 projects in the form of workshops, subject research, academic exchanges, and publishing works. The project had also subsidized visits and exchanges for over 600 Chinese and African scholars.

Holding human resource training programs. Human resource training is an important part of capacity building. From 2010 to 2012, China held various training courses for 54 countries and regions in Africa; the courses involved a total of 27,318 officials and technicians, and covered topics relating to economics, foreign affairs, energy, industry, agriculture, forestry, animal husbandry and fishing, medicine and health care, inspection and quarantine, climate change, security, and some other fields. In addition, Chinese medical teams, agricultural experts and enterprises located in Africa have also trained local people in an effort to enhance local technological capabilities.

Upgrading China-Africa cooperation in science and technology. In 2009, China launched the China-Africa Science and Technology Partnership Plan. This plan aims to promote technology transfer to Africa and research exchanges, as well as the sharing of more scientific and technological achievements. By the end of 2012, China had cooperated with African countries on 115 joint research and technology demonstration projects, including projects relating to cashew pest control technology and resources satellite receiving stations. China also gave 66 African researchers the chance to do post-doctoral research in China and donated 150,000 yuan worth of research equipment to each of the 24 researchers who had returned to their home countries to work upon completing their joint research tasks in China. In December 2011, the Chinese government launched the Science and Technology Action for African People's Livelihood, strengthening its cooperation with Africa through scientific and technological means. It also declared that it would help build a "mobile and modular general clinic" and a "demonstration center for scientific and technological cooperation in gastroenterology" to each African FOCAC member country.

Reducing African debt. From 2010 to 2012, China canceled 16 debts owed by Mali, Equatorial Guinea, Cameroon, Benin, Togo, Cote d'Ivoire and other countries, greatly reducing the debts of African countries.

VI. Promoting Cooperation under the Multilateral Framework

In recent years, African countries have made intensified efforts to gain strength through unity and they have made substantial progress in terms of economic integration. China firmly supports Africa's self-enhancement through unity, and works hard to strengthen cooperation with the African Union (AU) and African sub-regional organizations in a variety of fields, including infrastructure development, capacity building and mechanism construction. At the same time, China joins other countries and international multilateral organizations in leveraging one another's advantages to the fullest to help African countries reduce poverty, develop economically, and promote social progress.

China works closely with the AU and African sub-regional organizations not only in traditional areas like infrastructure construction, agriculture and personnel training, but also in emerging fields like finance, disaster reduction and intellectual property. The relationship between China and the AU plays an important role in the China-Africa new-type strategic partnership. Early in the 1970s, China started to provide the Organization of African Unity (OAU, now AU) with assistance in a variety of forms, including money, materials, turn-key projects and training. Since the AU Commission joined the FOCAC in 2011, cooperation between China and the AU has been enhanced. China's largest construction aid project in Africa, the AU Conference Center, was inaugurated in January 2012, at which time the Chinese government decided to provide 600 million yuan in aid to the AU over the next three years.

In recent years, cooperation between China and African regional organizations has been strengthened and become institutionalized. Since 2011, the Chinese government has signed Framework Agreements on Economic and Trade Cooperation with both the East African Community (EAC) and the Economic Community of West African States (ECOWAS), to expand cooperation in promoting trade facilitation, direct investment, cross-border infrastructure construction and development aid. Evidence of China's efforts in the area of financial cooperation includes China's status as a member state of the African Development Bank (AfDB), the West African Development Bank, and the Eastern and Southern African Trade and Development Bank. China has promised to contribute 615 million U.S. dollars to the African Development Fund (ADF), which is the soft-loan window of the AfDB, and has actively participated in the ADF's Multilateral Debt Relief Initiative to support poverty reduction and regional integration in Africa. The China Development Bank (CDB) has signed an Agreement on Development Financing Cooperation with the Development Bank of Southern Africa, and an agreement to loan 60 million Euros to the West African Development Bank for the development of small and medium-sized enterprises in countries belonging to the West African Economic and Monetary Union (WAEMU). The Export-Import Bank of China and the Agricultural Bank of China have both signed cooperation framework agreements with the AfDB to cooperate on infrastructure project financing and the development of small and medium-sized enterprises. In addition, China has reached relevant agreements with African intellectual property organizations, laying a solid foundation for the advancement of China-Africa economic and trade relations.

China has joined forces with multilateral organizations including the United Nations (UN) and the World Bank (WB) to utilize one another's strengths to the fullest to aid Africa in the fields of agriculture, environmental protection and training. China was the first country to form a strategic alliance with the UNFAO to foster South-South cooperation. In 2008, China decided to contribute 30 million U.S. dollars to the UNFAO to set up a trust fund. This fund, which is particularly beneficial to Africa, is used to support South-South cooperation between China and African countries under the framework of the UNFAO Special Program for Food Security. By the end of 2012, under the said framework, China had sent many agricultural experts and technicians to Ethiopia, Mauritania and Mali to provide technical assistance in the areas of irrigation and water conservation, crop production, animal husbandry, aquaculture and agricultural product processing. By doing this, China has played an active role in improving the agricultural production capacities and food security of these countries. In addition, China works cooperatively on climate change and disaster reduction with international organizations, including the United Nations Environment Programme and the secretariat of the International Strategy for Disaster Reduction. In 2012, China promised to contribute US$10 million to the International Monetary Fund (IMF) to provide technical assistance to Africa and improve the macroeconomic management of African countries. Chinese financial institutions established an all-round cooperation framework with the WB in May 2007. The two sides are carrying out feasibility studies on some infrastructure construction projects in African countries. Chinese financial institutions also maintain a good cooperative relationship with the International Finance Corporation (IFC), which is a member of the WB Group, to provide co-financing to telecommunications projects in West Africa and push forward the development of the communications industry in this region.

With an open mind, China has worked to enhance exchanges and mutual learning with other countries to explore practical cooperation in providing assistance to Africa. From 2009 to 2010, in partnership with the UK, China ran three peacekeeping police training classes in China and Ghana for African countries. In 2011, the tripartite agreement on the Liberian Tapeta Hospital cooperative project, signed by China, Egypt and Liberia, was fulfilled. According to the agreement, the Chinese government was responsible for maintaining medical equipment, and training medical, technical and managerial personnel for the hospital. The agreement required the Egyptian government to send two to five doctors to the hospital, and made the Liberian side responsible for the hospital's management and operation. This project has trained the backbone staff of the hospital and made outstanding contributions to its operation, winning universal praise.

In the future, China will work more closely with the AU and African sub-regional organizations to support Africa's economic integration and build the capacities of regional organizations. It will do this by promoting transnational and trans-regional infrastructure development and human resources development in Africa, and also by strengthening cooperation with the AfDB and African sub-regional financial institutions. At the same time, China will expand its international cooperative efforts to advance Africa's sustainable development, strengthen cooperation in the fields of agricultural development and climate change, and provide more support to Africa in ecological protection and environmental management.

Conclusion

China-Africa relations have reached a new historic level. Africa, a continent full of hope and thirsty for development, has become one of the world's fastest growing regions, while China, the world's largest developing country, has maintained forward momentum in its development. With increasing common interests and mutual needs, the two sides have great opportunities to accelerate their economic and trade cooperation.

Currently, the Chinese people are working hard to realize the Chinese dream of national revival, while African people are committed to the African dream of gaining strength through unity and achieving development and renewal. With a spirit of mutual respect and win-win cooperation, China will continue to take concrete measures to build a Sino-African community of shared destinies featuring all-round, diversified and deep cooperation. It will work to advance China-Africa economic and trade cooperation to help both sides make their respective dreams come true. China is also willing to enhance its cooperation with the rest of the world to promote Africa's prosperity and development.

Appendix I

Implementation of the Economic & Trade Measures of the Fourth FOCAC Ministerial Conference

1. The two sides have engaged in enhanced policy dialogue and practical cooperation on climate change. China has, on many occasions, sent senior officials, including the special envoy for climate change negotiations, to African countries to exchange views. During the Cancun Conference, the Durban Conference, the Ministerial Consultation of BASIC countries and other related negotiations and conferences, China has engaged in dialogue and consultation and also coordinated its position with African countries to uphold the common interests of developing countries. With a view to improving the abilities of African countries to adapt to climate change, China has implemented over 100 clean energy projects in Africa.

2. China has worked to raise the level of its scientific and technological cooperation with Africa. Following the Fourth FOCAC Ministerial Conference, China launched the China-Africa Science and Technology Partnership Plan, which aims to promote technology transfer to Africa and expand the sharing of scientific and technological achievements. The China-Africa Scientific and Technological Cooperation Roundtable was held in Egypt at the end of 2009. China has conducted 115 joint research and demonstration projects with African countries. China has also hosted 66 African post-doctoral students and donated research equipment to 24 returning African researchers who have concluded their joint research projects in China.

3. China has made concrete efforts to fulfill its promise to build up Africa's financial capabilities. By May 2012, China had approved US$11.3 billion in concessional loans for 92 projects, fulfilling its promise six months early. These loans are mainly used for funding infrastructure and social development projects in Africa.

By the end of 2012, the special loan for the development of small and medium-sized businesses in Africa, set up by China Development Bank, had promised to make loans totaling to US$1.213 billion, and US$2 billion had been collected for the second tranche of China-Africa Development Fund. China has canceled debts of interest-free government loans that matured by the end of 2009 owed by all heavily indebted poor countries and least developed countries in Africa that have diplomatic relations with China.

4. China has further opened its markets to African products. All of the 30 least developed countries in Africa that have diplomatic ties with China enjoy zero-tariff treatment for 60% of their exports to China, covering 4,762 items. Thanks to this policy, African exports to China have grown rapidly, reaching US$93.2 billion in 2011 and increasing 39% year on year. In 2012, African exports to China totaled US$113.17 billion, an increase of 21.4% over the previous year.

5. China has scaled up its agricultural cooperation with Africa. By the end of 2012, following the implementation of eight new measures to strengthen cooperation with Africa, China had built seven new agricultural technology demonstration centers for Africa. This increased the number of such centers on the continent to 22. By that time, China had also sent 50 agricultural technology teams to African countries. These teams trained more than 5,000 local technical personnel.

6. China has steadily advanced its health cooperation with Africa. By the end of 2012, China had dispatched 43 medical teams to 42 countries and regions in Africa, where the teams treated more than 5.57 million patients. There are now 1,006 Chinese medical professionals in Africa. China has provided medical equipment, materials and medicines to 42 countries and regions in Africa, and also to 30 African hospitals and 30 malaria prevention centers.

7. China has further strengthened its human resources development and educational cooperation with Africa. From 2010 to 2012, China ran training sessions with a total capacity of 27,318 trainees for officials and technical personnel from 54 countries and regions in Africa. The training sessions covered the fields of public management, energy, health, social security and manufacturing.

In the field of education, from 2010 to 2012, China built 28 new schools in Africa, provided equipment to 42 African schools, and funded 18,743 scholarships to students from Africa, 6,717 of which were given in 2012. During the same period, the 20+20 Cooperation Plan for Chinese and African Universities was launched, allowing 20 pairs of Chinese and African universities to conduct cooperative projects. China has also opened 31 Confucius Institutes and five Confucius Classrooms in 26 countries and regions of Africa.

8. China has actively run the China-Africa Joint Research and Exchange Plan. Between its inception in March 2010 and the end of 2012, the program supported Chinese and African scholars working on 64 projects (including 29 research projects, 16 workshops, 16 academic exchanges, and three publication projects) and organized academic exchanges between the two sides involving as many as 600 people. Thanks to the Exchange Plan, the Forum for Chinese and African Think Tanks has become institutionalized. One of the important platforms for exchanges between Chinese and African think tanks, the forum held its second conference in October 2012. The China Development Bank has set up a special fund to support academic exchanges between China and Africa.

Appendix II

Priority Areas of China-Africa Cooperation for the Next Three Years Announced by the Chinese Government at the Fifth FOCAC Ministerial Conference

1. Expanding cooperation in investment and financing to support sustainable development in Africa. To meet this goal, China will provide African countries with a US$20 billion credit line to be spent on developing infrastructure, agriculture, manufacturing and small and medium-sized enterprises.

2. Continuing to scale up its assistance to Africa so as to benefit more African people. As part of expanding its aid to Africa, the Chinese government will build more agricultural technology demonstration centers, as necessary, to help African countries increase their production capacities. China will implement the "African Talents Program" to train 30,000 African personnel in various sectors, offer 18,000 government scholarships, and build cultural and vocational skills training facilities in African countries. China and Africa will deepen their cooperation in the health sector, step up high level exchanges in health-related fields and hold a China-Africa high-level health development workshop when it becomes appropriate to do so. China will send 1,500 medical workers to Africa, while continuing to run the "Brightness Action" campaign in Africa to provide free treatment for cataract patients. It will also help African countries enhance their capacity building in meteorological infrastructure and forest protection and management. The Chinese side will continue to carry out well-drilling and water supply projects in Africa to provide safe drinking water for African people.

3. Supporting the African integration process and helping Africa enhance its capacity for overall development. To support Africa in these areas, China will establish a partnership with Africa that is focused on transnational and trans-regional infrastructure development, support related project planning and feasibility studies and encourage established Chinese companies and financial institutions to take part in transnational and trans-regional infrastructure development in Africa. China will also help African countries improve their customs and commodity inspection facilities to enhance intra-regional trade facilitation.

4. Strengthening people-to-people friendships to lay a solid foundation of public support for enhancing China-Africa common development. In this area, China proposes to carry out the "China-Africa people-to-people friendship action" to support and promote exchanges and cooperation between non-governmental organizations, women and youth from the two sides. Also, a China-Africa Press Exchange Center will be set up in China. The two sides will promote exchanges and visits between Chinese and African journalists and press professionals and support correspondent exchanges between their media organizations. China will also continue to implement the China-Africa Joint Research and Exchange Plan by sponsoring 100 programs for research, exchange and cooperation between academic institutions and scholars of the two sides.

5. Promoting African peace and stability, and creating a secure environment for the development of African countries. To foster security on the African continent, China will launch the "Initiative on China-Africa Cooperative Partnership for Peace and Security," deepen cooperation with the AU and African countries in areas related to peace and security in Africa, provide financial support for AU peacekeeping missions in Africa and the development for the African Standby Force, and train more AU peacekeepers and officials in peace and security affairs.