Africa is a vast continent with a population of about 1.4 billion people and an area of 11.7 million square miles. It is located at the crossroads of major global trade routes and has abundant natural resources, including 8% of the world’s gas reserves, 30% of the minerals, and 12% of oil reserves. These features make it economically significant.
Historically, several states, such as France, the United Kingdom (UK), and the United States (US), have been active in Africa. Another significant state is China. This article examines China’s economic engagement in Africa through economic diplomacy, including investments, agreements, and aid, while focusing on strengthening its strategic presence and promoting stability in conflict-prone regions.
Economic diplomacy refers to using financial tools, policies, and relations to achieve national objectives and strengthen international partnerships. It encompasses a wide range of activities to promote trade, investment, and economic cooperation, and leveraging financial resources to influence global or regional outcomes in a country’s favour. China’s economic diplomacy is based on core principles such as harmony, peace, stability, and wealth creation.
Conflict resolution refers to addressing and resolving disputes or disagreements constructively and peacefully between individuals, groups, or nations. In recent years, China has emerged as Africa’s largest trading partner and creditor. The Forum on China-Africa Cooperation (FOCAC), established in 2000, provided a platform for trade and development partnerships. The engagement is built on China’s economic diplomacy, focusing on significant investments in infrastructure, trade agreements, and financial aid. Trade between China and Africa increased from $127 billion in 2010 to $282 billion in 2024.
By 2024, South Africa led bilateral trade with China at $35.9 billion, followed by Angola, rich in oil and diamonds, at $27.3 billion, and the Democratic Republic of Congo (DRC), known for its vast mineral wealth, at $23.9 billion. Kenya contributes $8.5 billion, reflecting strong ties in infrastructure and trade. These figures illustrate the depth of China’s economic relations with Africa and its role as a key partner in the continent’s development.
Moreover, since 2013, China has funded ports, railways, and energy facilities under the Belt and Road Initiative (BRI) to enhance connectivity and economic integration with the African continent.
Pakistan is a key partner in China’s Belt and Road Initiative (BRI) and has the opportunity to engage with Africa using the BRI platform
Economic deprivation is a significant driver of conflict in many African nations. China’s economic diplomacy addresses financial instability, poverty, unemployment, and infrastructure issues, aligning with its principle of non-interference and promoting development for peace and stability.
The DRC holds 15% of global copper deposits and 50% of cobalt reserves. Although these reserves are critical for the worldwide supply chain, resource competition has fuelled violence. However, Chinese investments offer a pathway to stability and help reduce local grievances. While Chinese companies now control 70% of DRC’s copper production, they have created jobs and developed infrastructure.
Likewise, China has invested up to $6 billion in oil production fields and the energy sector in South Sudan, a country affected by civil war. In a win-win situation, these investments promote peace and support South Sudan’s economy and stability while giving China a way out to protect its projects.
The infrastructure built by China in African countries connects conflict-prone areas to significant economic hubs, reducing isolation and promoting integration. For instance, the Mombasa–Nairobi Standard Gauge Railway (SGR) was completed in 2017 by China Road and Bridge Corporation (CRBC), Kenya’s first railway in 122 years and the flagship project of its Vision 2030. As Eastern Africa’s largest port, Mombasa is strategically located with 17 international routes and does business with 80 ports worldwide. The project created about 46,000 jobs and trained 5,000 local personnel in railway operation and maintenance. China also built a regional training base and a railway college to train professionals for Kenya’s railway development.
Similarly, Angola, which has suffered decades of civil war, is the second largest destination for Chinese foreign investment. Chinese firms have invested approximately $12 billion in the country over the past decade. With a bilateral trade volume of $27.3 billion, Angola’s partnership with China demonstrates how economic diplomacy can support post-conflict recovery and development. Ethiopia has worked with Chinese initiatives on more than 70 large-scale projects since 2006. Between 2006 and 2018, the Chinese government and financial institutions provided around 14.83 billion US dollars in loans to fund these projects.
China has significantly promoted peace in the Horn of Africa (Somalia, Ethiopia, Eritrea, and Djibouti), a region marked by political instability, economic issues, and piracy. Chinese investments in Djibouti’s port and the establishment of a military base have enhanced maritime security, reduced piracy, and facilitated stability.
In 2022, China appointed Xue Bing as a Special Envoy for the Horn of Africa, focusing on addressing conflicts in Ethiopia, Somalia, and Eritrea. China has contributed peacekeepers and financial support to the United Nations mission in Mali (MINUSMA) and provided development aid to address the root causes of instability.
China’s broader diplomatic initiatives, such as its involvement in the African Union (AU) Peace and Security Council, also demonstrate its commitment to peacebuilding. For example, in 2013, China contributed peacekeepers and financial support to the United Nations mission in Mali (MINUSMA) and Sudan and provided development aid to address the root causes of instability.
China is one of the most significant contributors of troops and financial support to United Nations peacekeeping missions in Africa, including South Sudan, Mali, and the Democratic Republic of Congo. In 2016, China rose to the position of the second-largest financial donor to the United Nations peacekeeping fund.
Economic diplomacy is essential for contemporary states to engage in the global economy and balance economic development, national security, and international relations. China’s peacebuilding efforts have assisted in stabilising a number of conflict zones, showcasing a realist approach that matches its economic and diplomatic interests with African priorities. However, its success depends on balancing its financial interests with long-term peacebuilding and addressing criticisms of its methods.
Africa’s trade with developed countries has decreased, while trade with developing countries has grown. Currently, trade between Pakistan and Africa accounts for only 6% of their total exports, despite the trade potential being nearly $3 trillion. Pakistan is a key partner in China’s Belt and Road Initiative (BRI) and has the opportunity to engage with Africa using the BRI platform.