The Impact of Chinese Led Infrastructural Development on Sino-african Relations: the Case of Kenya

Abstract

The study set out to investigate the impact of Chinese led infrastructural development on Sino-African relations with Kenya as the case study. The main objective of the study was to examine the impact of Chinese involvement in infrastructural development in Kenya. The study explores China‘s foreign policy in general then moves to tackle China-Africa relations and Chinese diplomatic relations with Kenya. The type of research design that was used for this study was the explanatory design. The data collection tools for the secondary data that was used were information gathering and document analysis. In section one; the study explores China‘s foreign policy, China-Africa relations. Section two examines Chinese investment in African countries; it also provides some data on what kind of investments is being undertaken. Section three examines China‘s diplomatic relation between China and Kenya and the status of their trade balance. The findings of the study were: i) The Chinese businesses do not operate like conventional profit maximizing firms, they are often willing to provide concessions in order to gain access to markets. ii) Chinese development aid in Africa assists in the financing of infrastructure projects, hydropower stations, stadia, hospitals and schools. iii) To the extent that China is contributing to the development of Kenya through the direct creation of employment opportunities, others have however contended that the types of jobs created are of low quality. The research project affirms that the no strings-attached aid policy pursued by the Chinese leads to a decrease in the strain on governments to advance on issues such as development. The policy affirms to the hypothesis that China‘s relation with African countries aims at achieving tangible developmental results and the terms are favourable. Also, China views Kenya as a gateway to the East African region and is a focal point in terms of China‘s trade and economic strategy in Africa, this therefore asserts to the other hypothesis that China‘s infrastructure development investment has a negative impact in Kenya‘s political economy. In the light of these findings, recommendations are suggested that policy makers should come up with policies that will favour both parties. Also, checking the risks to economic diversification and monitoring the working conditions in Chinese firms. The political implication of investments should also be managed, maximize linkages with local suppliers and finally protect indigenous small scale businesses. The study concludes that the bilateral economic and trade relations between China and Kenya has increased and both sides have made rapid development in areas of cooperation