A Study of China’s Foreign Aid: An Asian Perspective

252 Pages·2013·1.057 MB·English

by  Yasutami Shimomura, Hideo Ohashi (eds.)

A Study of China’s Foreign Aid
Also by Yasutami Shimoura
AID AS HANDMAIDEN FOR THE DEVELOPMENT OF INSTITUTIONS: A New
Comparative Perspective ( with Machiko Nissanke )
THE RISE OF ASIAN DONORS: Japan’s Impact on the Evolution of Emerging
Donors ( with Jin Sato )
AID RELATIONSHIPS IN ASIA: Exploring Ownership in Japanese and
Nordic Aid ( with Alf Jerve and Annette Hansen )
A Study of China’s
Foreign Aid
An Asian Perspective
Edited by
Yasutami Shimomura
Professor Emeritus, Hosei University, Japan
and
Hideo Ohashi
Professor of Development Economics and
Asian Studies at Senshu University, Japan
Editorial introduction and selection matter © Yasutami Shimomura and
Hideo Ohashi 2013
Individual chapters © Contributors 2013
Softcover reprint of the hardcover 1st edition 2013 978-1-137-32376-7
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in accordance with the Copyright, Designs and Patents Act 1988.
First published 2013 by
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ISBN 978-1-349-45878-3 ISBN 978-1-137-32377-4 (eBook)
DOI 10.1057/9781137323774
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Contents
List of Illustrations vii
Acknowledgements i x
Notes on Contributors x
List of Acronyms x ii
Part I Introduction
Why China’s Foreign Aid Matters? 3
Yasutami Shimomura and Hideo Ohashi
Part II Basic Facts of a Rising Donor
1 The Foreign Aid Philosophy of a Rising Asian Power:
A Southeast Asian View 19
Dennis D. Trinidad
2 Aid Volume in a Historical Perspective 46
Takaaki Kobayashi and Yasutami Shimomura
3 Implementation System: Tools and Institutions 58
Shino Watanabe
4 The Link between Aid and Non-Aid Activities:
A Distinguishing Feature of China’s Engagement 82
Hideo Ohashi
5 Evaluating China’s ‘Quaternity’ Aid: The Case of Angola 104
Juichi Inada
Part III Emphasis on’Aid, Investment, Trade
Synthesis’: Evolution of an Asian Aid Model?
6 The Chinese View: Reflection of the Long-Term Experiences
of Aid Receiving and Giving 125
Wang Ping
7 The Japanese View: With Particular Reference to the Shared
Cognition Model in Asia 145
Yasutami Shimomura
v
vi Contents
Part IV Impacts of China’s Foreign Aid
8 T he Impact of Economic Cooperation on Asian Countries:
Focus on the Mekong Region and Central Asia 1 71
Naohiro Kitano
9 C hina’s Foreign Aid and International Aid Community:
From the Perspectives of Traditional Donors and Africa 193
Izumi Ohno
Part V Conclusion and Policy Implication
10 F uture Prospects of China’s Foreign Aid 2 19
Yasutami Shimomura and Hideo Ohashi
Index 2 39
List of Illustrations
Figures
1.1 The system of management of Chinese aid 3 3
1.2 DAC aid allotments in 2010–11 4 0
1.3 Chinese aid allotments in 2009 4 1
1.4 DAC donor aid by sector in 2011 4 1
2.1 Long term trend of China’s foreign aid 51
4.1 Chinese foreign economic cooperation 8 6
4.2 Chinese overseas workers’ compensation and remittance 9 6
5.1 The amount of trade between Angola and China, 2002–9 1 11
5.2 China’s investments in Angola, 2002–11 1 12
5.3 GDP and its growth rate in Angola 1 13
7.1 The East Asian model of development/aid:
assistance to ‘graduation’ 1 53
7.2 Concerted activities between public and private sectors:
the case of the Eastern Seaboard 1 60
7.3 Concerted activities between public and private sectors:
the case of the Ha Noi-Hai Phong Corridor 1 61
8.1 China’s trade and economic relations with Mekong region
and Central Asian countries (2010) 1 79
8 .2 China’s trade and economic relations with Mekong region
and Central Asian countries (Percentage of GDP in 2010) 1 80
9.1 Two types of international development cooperation 2 02
Tables
1.1 The eight principles of Chinese aid 2 8
1.2 Milestones in China’s aid-giving 2 9
1.3 Aid from DAC donors and China 3 6
2.1 Estimation of the volume of China’s foreign aid 4 9
2.2 Resource flows to China: yearly average 5 4
3.1 Bilateral foreign aid of China and DAC donors 7 4
4.1 Flows of funds to developing countries 8 4
4.2 Chinese foreign economic cooperation by area and country 9 3
4.3 China’s service trade account balance 9 5
7.1 Japan’s share in the aid flows to ASEAN4 and China 1 50
vii
viii List of Illustrations
8.1 China’s bilateral economic cooperation frameworks
with Mekong region countries 174
8.2 China’s bilateral economic cooperation frameworks
with Central Asia 178
8.3 Amounts committed by China for different regions 1 82
9.1 Comparison of Western and Chinese aid 1 95
9.2 Features of ODA: US, UK, Japan and South Korea 1 95
9.3 Topics discussed at the China-DAC study group 1 98
9.4 Suggestions in phase 1 of the China-DAC study group 1 99
9.5 Numerical targets announced at the Beijing summit and
the Fourth Ministerial Conference of the FOCAC 2 05
9.6 Industrial development support by major donors
in Ethiopia 209
Map
8.1 Cross-border infrastructure between China and
the Mekong region and between China and Central Asia 1 72
Acknowledgements
We have become indebted to many people during the process of
producing this book, which originated from a research project organized
by the Japan Institute of International Affairs (JIIA). We are thankful
to Yoshiji Nogami, Naoko Saiki, and Hideki Asari for their valuable
support.
We would like to express our sincere gratitude to Seiichiro Takagi, Akio
Takahara, Lin Xiaoguang, Kazuto Tsuji, Takashi Suzuki, Shinya Kadozaki,
and Hiroshi Takazawa for their insight, constructive comments, and
expertise throughout the research. An international workshop was
organized by JIIA as a part of the project on 3 December 2011. The inter-
action between Chinese and Japanese scholars on this occasion was
very informative and productive. We are most grateful for the time and
intellectual input provided by the Chinese participants Li Xiaoyung,
Mao Xiaojing, Xue Hong, and Zhou Hong. Last but not least, we grate-
fully acknowledge the superb professional assistance provided by Taiba
Batool and Gemma Shields of Palgrave Macmillan during the prepara-
tion of this volume.
This volume is the product of a team effort, in which we have been
very lucky to have had the chance to participate.
The editors and authors are grateful to Nihon Keizai Hyoron-Sha,
Tokyo, Japan and Routledge, London, U.K., for permission to repro-
duce parts of previously published materials. Chapters of this volume,
except Chapter 1, are based on, with permission, Yasutami Shimomura
and Hideo Ohashi with The Japan Institute of International Affairs
(eds), C hugoku no Taigai Enjo (China’s Foreign Aid) , Tokyo, Nihon Keizai
Hyoronsha, 2013. Parts of Chapters 3, 6, and 7 are reproduced with
permission from Chapters 6 and 7 of Jin Sato and Yasutami Shimomura
(eds), T he Rise of Asian Donors Japan’s Impact on the Evolution of Emerging
Donors , London, Routledge, 2013.
ix