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Belt and Road Initiative and Response of Central Asian Countries: An Opportunity for Economic Revival

Young-Jin Kim 1

1한양대학교

Accredited

ABSTRACT

Central Asia holds a very important position in relation to the development of the Belt and Road Initiative. Earlier, Central Asian countries had received huge amounts of loans and investment and economic assistance from China across all sectors. The construction of roads, railways, bridges and tunnels, and the development of basic infrastructure were essential elements for economic development for the newly emerging Central Asian countries. Chinese investment in such areas as energy, agriculture, and other industries, and joint ventures and projects have certainly had a positive impact on the economic development of these countries. Nevertheless, there are concerns and questions in Central Asia about the Belt and Road Initiative over China’s growing influence and sustainability. This is especially true in the case of economically weak countries such as Kyrgyzstan and Tajikistan, where more than 40 percent of their foreign debt is attributable to China. A huge amount of loans is a serious problem, which could cause these countries to fall into debt traps. In addition, governments and people in Central Asia are concerned about the influx of Chinese labor.

Citation status

* References for papers published after 2023 are currently being built.

This paper was written with support from the National Research Foundation of Korea.