China-powered ICT infrastructure: lessons from Tanzania and Cambodia
Summary
This policy brief by the South African Institute of International Affairs examines the environmental, socioeconomic, and governance (ESG) impacts of Chinese ICT infrastructure projects in Tanzania and Cambodia. It concludes that while environmental impacts were minimal, socioeconomic outcomes were mixed and projects suffered from a lack of transparency.
Key insights
- China's Digital Silk Road (DSR), a pillar of the Belt and Road Initiative (BRI), aims to expand global ICT interconnection through cross-border optical cables and communications networks to facilitate digital connectivity and trade among BRI countries.
- China has achieved significant domestic ICT growth, constructing 916,000 5G base stations by the end of 2020 (70% of the global total) and planning to reach five million base stations by 2025, with investments estimated between RMB 10 trillion and RMB 17 trillion.
- In Southeast Asia, Chinese firms have significantly increased their role in fibreoptic cable construction, rising from 6% of projects between 2012-2015 to 20% between 2016-2019.
- The submarine fibreoptic cable project in Cambodia, implemented by CFOCN (a branch of HyalRoute Group) with a $69.7 million investment, had limited environmental impacts on marine life and health, but lacked transparency regarding financing, procurement, and employment in its ESIA report.
- Tanzania's National ICT broadband fibreoptic backbone (NICTBB), financed by approximately $264 million in loans from China Exim Bank, improved connectivity and e-government services but suffered from underutilisation and inadequate local management due to limited capacity building.
- The NICTBB project in Tanzania created over 9,000 local jobs (60% of the workforce), but local firm participation was restricted to the lower end of the technology value chain and procurement followed Chinese government regulations.
- Chinese ICT engagement differs by region: African projects are typically government-to-government initiatives backed by concessional loans, whereas Southeast Asian projects involve more market bidding, non-concessional loans, and greater efforts to engage local elites and legal frameworks.
Cite the original document
- APA
- South African Institute of International Affairs (2021). China-powered ICT infrastructure: lessons from Tanzania and Cambodia. https://saiia.org.za/research/china-powered-ict-infrastructure-lessons-from-tanzania-and-cambodia/
- Chicago
- South African Institute of International Affairs. China-powered ICT infrastructure: lessons from Tanzania and Cambodia. 2021. https://saiia.org.za/research/china-powered-ict-infrastructure-lessons-from-tanzania-and-cambodia/.
- Wikipedia
- {{cite report |author=South African Institute of International Affairs |title=China-powered ICT infrastructure: lessons from Tanzania and Cambodia |date=15 December 2021 |url=https://saiia.org.za/research/china-powered-ict-infrastructure-lessons-from-tanzania-and-cambodia/ |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{southafricaninstituteofinternationalaffairs2021chinapowered, author = {{South African Institute of International Affairs}}, title = {{China-powered ICT infrastructure: lessons from Tanzania and Cambodia}}, institution = {South African Institute of International Affairs}, year = {2021}, month = dec, url = {https://saiia.org.za/research/china-powered-ict-infrastructure-lessons-from-tanzania-and-cambodia/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
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