China’s Environmental Footprint in Africa
Summary
The document analyzes China's strategy of accessing previously untapped natural resources in Africa, often in ecologically fragile areas with weak governance. It highlights the central role of the China Exim Bank in financing large-scale infrastructure and extractive projects, noting a historical lack of adherence to international environmental standards. Using the Merowe Dam in Sudan as a primary case study, the author illustrates significant social and environmental failures. While the Chinese government has begun introducing social and environmental guidelines and 'green credit' policies, the report warns that stricter domestic regulations may inadvertently encourage the relocation of polluting industries to Africa.
Key insights
- China's strategy in Africa focuses on securing natural resources that were previously considered too remote, insignificant, or politically risky for Western companies, necessitating massive investments in mining, oil exploration, and supporting infrastructure like pipelines and power plants.
- The China Exim Bank is a primary financier for state-owned enterprises in Africa, focusing on 'big-ticket projects' and large companies. By June 2007, it had approved over RMB 100 billion in loans for Africa, with approximately 40% of commitments directed toward the power sector.
- Chinese investments in Africa carry high environmental risks because they are concentrated in sensitive sectors—such as hydropower, timber, and oil and gas—and often occur in national parks or regions with weak governance.
- The Merowe Dam in Sudan, funded largely by China Exim Bank, serves as a critical example of environmental and social failure; it is predicted to displace up to 70,000 people and cause significant damage to aquatic ecology and water quality, while its environmental assessment was never certified by Sudan's Ministry of Environment.
- There is a concern among Western financial institutions that Chinese banks use lower environmental standards to win business, potentially triggering a 'race to the bottom' where other institutions lower their own standards to remain competitive.
- The Chinese government has evolved its policy from strict non-interference toward establishing social and environmental guidelines, including a 'green credit' policy that restricts lending to companies failing environmental assessments.
- Stricter domestic environmental laws in China may lead to the 'export' of pollution, as companies relocate dirty industries to African countries with weaker regulations, as seen with the movement of timber companies after China's 1998 logging ban.
Cite the original document
- APA
- Bosshard, P. (2008). China’s Environmental Footprint in Africa. South African Institute of International Affairs. https://saiia.org.za/wp-content/uploads/2008/04/chap_brf_03_bosshard_200804.pdf
- Chicago
- Bosshard, Peter. China’s Environmental Footprint in Africa. South African Institute of International Affairs, 2008. https://saiia.org.za/wp-content/uploads/2008/04/chap_brf_03_bosshard_200804.pdf.
- Wikipedia
- {{cite report |last1=Bosshard |first1=Peter |title=China’s Environmental Footprint in Africa |publisher=South African Institute of International Affairs |date=April 2008 |url=https://saiia.org.za/wp-content/uploads/2008/04/chap_brf_03_bosshard_200804.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{bosshard2008chinas, author = {Bosshard, Peter}, title = {{China’s Environmental Footprint in Africa}}, institution = {South African Institute of International Affairs}, year = {2008}, month = apr, url = {https://saiia.org.za/wp-content/uploads/2008/04/chap_brf_03_bosshard_200804.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }
Full text
Collected · Record updated