The main directions of Chinese investment expansion among the CIS countries have become Kazakhstan, Kyrgyzstan and Tajikistan, according to the forecast of the Eurasian Development Bank "Monitoring of Fungible Investments of the EDB - 2022".
Priority sectors for Chinese investment in Kazakhstan have become oil and gas and pipeline, in Kyrgyzstan gold mining and oil refining, in Tajikistan - gold mining and cement business, the Akchabar portal reports.
“In these countries, China can take a leading position among investors, while in Tajikistan it accounts for more than half of all FDI,” the EDB report says.
According to the IMF data for 2020, the share of China (from Hong Kong) in inward FDI of the CIS countries is the largest share in countries such as Tajikistan (50.7%), Kyrgyzstan (19.2%) and Kazakhstan (6.4%). In other Commonwealth countries, the share is even smaller.
At the same time, the statement says that “the countries of Central Asia and the EAEU are not a priority for Chinese investment companies. Thus, the share of Russia in China's exported FDI exports (excluding investments through offshore companies) is 0.5%, Kazakhstan - 0.2%, Uzbekistan, Kyrgyzstan and Tajikistan - 0.1% each, other CIS countries - less than 0.1% .
For comparison, China exports 3.1% of its investments to the US, 2.3% to Singapore, and 1.3% to Australia. the value is much higher, since more than 50% of Chinese investments are in offshore jurisdictions.
Chinese FDI in the CIS countries in terms of GDP (0.4%) slightly exceeds Arab (0.1%) and Iranian investments (0.1%). Upon arrival in countries that are close.
CentralasianLIGHT.org
December 20, 2022