US' new Africa strategy is 'welcomed by China'

During the 2000-2013 period, US-Africa trade rose from $50 billion to $110 billion.

"Chinese companies' chief advantage is their rich development experience built up during the past few decades at home. They can offer cost-effective, appropriate investment experience to different places," said Li Jun, the China-Africa Development Fund's Tanzania representative.

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He said there are many companies from all over the world building infrastructure projects in Africa. Each has advantages and disadvantages. So it is vital that they all learn from each other to make investment bring benefits to local people.

"It's crucial to make proper plans and strategies when investing in Africa's infrastructure, because different regions of this continent have different on-the-ground realities and demands. Investors should have clear, well-conceived targets to avoid low investment efficiency," he said. "And more important, they should concentrate on supporting Africa's internal capacity to achieve sustainable, high-quality growth."

Cao Min, head of the Chinese desk for Standard Bank Group Ltd in East Africa, has been involved in Africa's infrastructure sector for more than 15 years. Said Cao: "Obama's new Africa strategy is obviously intended to counterbalance China's influence on the continent, but it offers more opportunities than challenges to Chinese companies."

He said that Chinese construction companies in Africa have won many bids under the highest standards, such as those set by the World Bank or European Union, and they will continue winning even as competition intensifies.

"One significant change should be mentioned. Some Chinese construction companies have transformed themselves from pure contractors into investors. So if Americans can help build up the infrastructure network in Africa, it's good for everyone's investment," he said.

China has been developing its infrastructure at a huge cost for about three decades, and it is still building at a fast pace. Africa has 54 countries, which means that it still has a lot of potential to absorb more foreign investment in every sector, including infrastructure, Cao said.

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