China’s Infrastructure Investments In Djibouti:Opportunities And Challenges

During the last thirty years of rapid economic development,China has achieved stable growth.However,the fast expansion of China’s production industry over the past decades has created a shortage of resources,and in response to this need,Chinese companies,with the support of the government,have opted for seeking new possibilities abroad.Africa has appeared as one of those opportunities for Chinese investments.One of the countries with which China has established strong relations is Djibouti,where it has financed and implemented major development projects,such as ports and a free trade area,a new railway line,a water project,etc.According to the report(of the IMF)2017,the work done by Chinese investment is helping to boost economic growth in Djibouti.The port infrastructure of Djibouti is also part of the initiative of President Xi Jinping,known as "A belt and a road." From this point of view,Chinese investment is hope for African states,especially for the Djiboutian government,because they often lack the resources to finance infrastructure.However,in this article,we believe that investment in infrastructure is going to boost economic development,bring the dissemination of know-how in Djibouti and generate new opportunities for people.