"US to Invest in Infrastructure of Up to 10 Developing Countries Starting January... Countering China's Belt and Road Initiative"

"First Investment Targets Likely African and Latin American Developing Countries"
"Unlike China's Belt and Road, Considering Worker Protection and Climate Change"

[Image source=EPA Yonhap News]

[Asia Economy Reporter Hyunwoo Lee] The Biden administration in the United States is reportedly planning to announce large-scale infrastructure project investments around the world in January next year. This move is interpreted as an effort to counter China's Belt and Road Initiative (land and maritime Silk Road). In particular, it is expected that 5 to 10 projects will be announced focusing on developing countries in Africa and South America, where the Belt and Road Initiative is currently being actively promoted, which is likely to intensify diplomatic and economic friction between the two countries.

On the 8th (local time), Bloomberg News cited a senior U.S. government official saying, "The U.S. government will announce about 5 to 10 infrastructure investment projects targeting middle- and low-income developing countries starting from January next year," adding, "Senegal, Ghana, Colombia, Ecuador, Panama, and other African and South American countries are strong candidates for the first investment targets." Bloomberg reported that these countries were visited consecutively last month by Dalip Singh, Deputy Assistant to the President for National Security Council (NSC) at the White House.

The projects are being promoted as part of the ‘Build Back Better World (B3W)’ plan led by President Biden. B3W is a large-scale infrastructure investment plan announced by President Biden in June this year, in which the U.S. and major allies will invest $40 trillion (approximately 47,200 trillion KRW) in facilities targeting low-income countries worldwide by 2035.

The senior official emphasized, "Specifically, discussions are underway on establishing a West African vaccine production hub in Senegal, building renewable energy supply chains, providing loan benefits to companies owned by women entrepreneurs, and addressing information gaps," adding, "If necessary, equity participation, loan guarantees, and specialized technology will be provided to the developing countries targeted for investment, with a focus on climate, health, digital technology, and gender equality." The U.S. government is reportedly planning to finalize more detailed measures at the upcoming Group of Seven (G7) summit next month.

This is interpreted as a means to counter China's Belt and Road projects. Bloomberg News pointed out, "A U.S. government official emphasized that unlike China, the U.S.-led infrastructure projects will strengthen worker protection policies and consider climate change, women, and minority inclusion," adding, "The U.S. has criticized China for using the Belt and Road Initiative to impose massive debt on low-income countries and gain unfair military advantages by using loans as bait."

This content was produced with the assistance of AI translation services.