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How will China’s emergence as a development financier change global development and what does it mean for the established international financial institutions? The Center for Global Development’s research explores this question and more.
Washington – China continues to borrow billions of dollars a year from the World Bank, making it one of the bank’s top borrowers—despite being the world’s second-largest economy and itself a major global lender, according to a study released today.
Researchers at the Center for Global Development (CGD) found that the World Bank’s International Bank for Reconstruction and Development—which offers loans to middle-income and credit-worthy lower-income countries—has loaned more than $7.8 billion to China since the country surpassed the bank’s “graduation” income threshold for lending in 2016.
On May 8, 2020, CGD senior fellow Scott Morris testified before the U.S.-China Economic and Security Review Commission on China in Africa. Morris's testimony focused on China’s lending to sub-Saharan African countries, how it affects the debt picture on the continent, and how the US government can respond.
President Elect Donald Trump committed his first major personnel act on climate Wednesday, picking Scott Pruitt—Oklahoma Attorney General, climate change denier, and oil industry ally—to head the Environmental Protection Agency. If Pruitt is confirmed to the position, he will be responsible for looking out for not just for narrow oil interests, but all Americans. Maybe he’ll be persuaded to take a more forward-looking stance on climate by the Americans already suffering from sea level rise in Alaska, Florida, and Louisiana. But if that doesn’t concern him, perhaps the United States losing international goodwill and influence to an ascendant China will.
This policy paper aims to fill this gap by shedding light on China’s global impact “from the bottom up.” The paper uses three rounds of data submitted since 2014 by countries receiving Chinese aid to a process known as the “Global Partnership for Effective Development Cooperation.” To supplement the data, the paper also includes results of surveys and a series of interviews with key individuals involved in reporting Chinese development cooperation data within recipient countries.
My guest on this Wonkcast is CGD senior fellow Liliana Rojas Suarez, who serves as chair of the Latin American Shadow Financial Regulatory Committee (CLAAF). CLAAF is comprised of financial economists and former senior financial officials from the region who meet twice a year to study a current policy issue. They then issue a statement offering advice to policymakers in the region and others interested in Latin American financial regulatory issues—or just in the region’s overall economic health.
Most of China’s fertility decline predates the famous One Child Policy—and instead occurred under its predecessor, the Later, Longer, Fewer (LLF) policy. Studying LLF’s contribution to fertility and sex selection behavior, we find that it i) reduced China’s total fertility rate by 0.9 births per woman (explaining 28% of China’s modern fertility decline), ii) doubled the use of male-biased fertility stopping rules, and iii) promoted postnatal neglect (implying 210,000 previously unrecognized missing girls). Considering Chinese population policy to be extreme in global experience, our paper demonstrates the limits of population policy—and its potential human costs.