CGTN Europe spoke to Yunnan Chen, a Research Fellow at ODI Global, about the significance of the economic partnership between China and Kenya for the two countries.
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00:00Well, let's talk now to Yunnan Chen, the research fellow at the global affairs think tank ODI Global.
00:07Welcome. Good to see you. A word, first of all, about the timing of this visit.
00:14This is a huge geopolitical significance, both for China and for its Kenyan partner.
00:23And this is an opportunity for China to demonstrate, in contrast to what's been happening in the U.S.,
00:31that it still remains a credible and reliable partner to Africa and specifically to Kenya.
00:38And it's also an opportunity for African countries like Kenya to to realign and reassess what their international partnerships can look like
00:47when it comes to financing their development needs and modernization strategies.
00:54And if we had to take a snapshot now, how would you describe the current economic partnership between China and Kenya?
01:03China has been a fairly significant partner, both in terms of trade, investment and in development financing.
01:13Chinese banks have have been significant creditors that have supported quite significant infrastructure investments in Kenya
01:23as part of the Belt and Road Initiative.
01:26And China-Kenya relations in trade have also deepened in recent years, particularly through the expansion of agricultural trade.
01:34But it's also been quite controversial.
01:36Some of these large infrastructure investments, like the Standard Gauge Railway, have run into some controversies,
01:44most notably in their revenues, in their operations and generating issues for Kenya's debt sustainability as well.
01:53That's looking back over the past.
01:56What about the future?
01:57How do you see China's role in Africa's future development?
02:01So I think we're seeing a pivot as well from how how how China is is viewing its role.
02:11And particularly we see this in development finance in Africa.
02:16And I think that the biggest shift is is around the Belt and Road Initiative and the shift to a green BRI.
02:23We're really seeing an expansion of China's and Chinese companies and Chinese banks participation in supporting green investments and in supporting energy transitions in Africa.
02:38And I think a notable outcome from this summit is going to be very much on the future of the Standard Gauge Railway Network in Kenya
02:45and its broader East African master plans for for the railways expansion into into Uganda.
02:55And I think something notable is this shift in how the next phase of the railway is going to be financed rather than using debt debt instruments,
03:08as was the previous kind of model of the BRI financing, the new phase is likely going to be under a public private partnership between Kenya and China.
03:18No news programme would be complete without a question about Mr. Trump's tariffs, of course, at the moment.
03:25What's your assessment of what global trade tariffs mean for Africa and perhaps the future of its economic partnerships?
03:34It's going to be a hugely challenging moment, even if Mr. Trump walks back on some of these announcements.
03:43The uncertainty, the economic and political uncertainty that introduces, I think, is going to be hugely damaging for trade and for wider economic development trajectories in Africa.
03:59And I think it reinforces the importance of China as well as other other sources of financing for African countries.
04:09Yunnan Chen. Thank you very much indeed. Yunnan Chen from the global affairs think tank ODI Global.