In a grand celebration of a decade-long journey, China is set to host an international gathering of foreign leaders to commemorate the remarkable success of its Belt and Road Initiative (BRI). This monumental project, a cornerstone of President Xi Jinping’s vision for expanding China’s global influence, has seen the signing of over two trillion dollars in contracts spanning the globe. Representatives from more than 130 countries are eagerly anticipated to partake in this two-day event, slated for October 17th and 18th, where President Xi will deliver an opening address and host a welcoming banquet for the attending foreign dignitaries.
Decade of Belt and Road Initiative Marks Global Expansion of China’s Influence
This event, the third of its kind since the inception of the BRI, follows previous editions held in 2017 and 2019. However, the 2023 gathering holds particular significance, as it marks the first visit of Russian President Vladimir Putin to China since the onset of the Ukraine conflict last year. This underscores the strong strategic alliance and “no limits” partnership declared by China and Russia, characterized by extensive economic and military cooperation. Notably, top Russian diplomat Sergei Lavrov is also set to attend, engaging in discussions with his Chinese counterpart, Wang Yi.
Both China and Russia have maintained a neutral stance on the Ukraine war, with China extending essential diplomatic and financial support to Moscow. Foreign Ministry spokesperson Mao Ning emphasized, “We welcome countries and partners actively participating in the Belt and Road Initiative (BRI) to come to Beijing to discuss cooperation plans and seek common development.” This gathering promises to reinforce their collaborative efforts and deepen the ties between these two global powers.
Russian President Vladimir Putin to Attend Event Amidst Ukraine Conflict
President Putin’s presence at this event carries substantial diplomatic weight, emphasizing the resilience of China-Russia relations in the face of geopolitical challenges. As one of the most prominent world leaders to join the celebration, his participation underscores the enduring nature of their strategic partnership.
The BRI event presents a unique opportunity for high-level discussions and cooperation between Russia and China in a multitude of areas, further solidifying their position on the global stage. Given the ongoing global challenges and the Ukraine conflict, the discussions between the leaders are highly anticipated.
Debt Distress Concerns Loom as China Touts BRI’s Economic Gains
While China enthusiastically touts the economic gains of the Belt and Road Initiative, concerns over the financial implications of the project persist. China’s Eximbank, a key creditor for the BRI, currently holds a substantial 2.2 trillion yuan ($307.4 billion) in loans for BRI projects. These loans have been instrumental in funding major transportation and energy projects across the BRI, extending their influence from Africa to Central Asia. Nevertheless, some of China’s partners are growing increasingly apprehensive about the costs associated with these projects.
In a concerning development, Italy, the sole leading developed democracy to sign up for the investment scheme, recently expressed its consideration to opt out of the deal. This serves as a stark reminder of the complex financial dynamics and concerns over debt associated with the BRI projects.
A report by experts at Boston University’s Global Development Policy highlights the BRI’s role in providing “additional resources for the Global South” and fostering “significant economic growth.” However, the report also brings to light the alarming issue of “significant debt distress” faced by several recipient countries who owe a substantial share of their external debt to China.
As China’s Belt and Road Initiative reaches its 10-year milestone, this grand celebration not only marks a decade of global expansion but also serves as a platform for addressing both the triumphs and challenges that accompany this ambitious project. The participation of leaders from across the globe reflects the significance of the BRI in shaping the future of international relations and economic development.
