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Chinese OFDI in Africa: Trends, Prospects, and Threats

In: Chinese International Investments

Author

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  • Gayle Allard

Abstract

The African continent has become an important target for foreign investors. Since 1985, outward foreign direct investment (OFDI) inflows to the region have risen from US$2.4 to US$62 billion, and stocks have soared from US$40 billion in 1980 to US$315 billion in 2006 (UNCTAD, 2008; McKinsey, 2010). Africa’s lure for foreign investors lies in its demographic and economic growth with the resulting rise in consumer markets, its abundant natural resources, and an improving business environment in many countries that makes them more attractive to investors. The Chinese have joined investors around the world in taking important positions on the continent.

Suggested Citation

  • Gayle Allard, 2012. "Chinese OFDI in Africa: Trends, Prospects, and Threats," Palgrave Macmillan Books, in: Ilan Alon & Marc Fetscherin & Philippe Gugler (ed.), Chinese International Investments, chapter 13, pages 279-299, Palgrave Macmillan.
  • Handle: RePEc:pal:palchp:978-0-230-36157-7_14
    DOI: 10.1057/9780230361577_14
    as

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