China’s Belt and Road initiative

An initiative is emerging from the depths of Asia that will transform economic growth, construction, investment and trade. Not just in China – which is the initiative’s ground zero – but right through Asia and into Europe. Along the way, it is creating vibrant new business hubs and with them, jobs. As a result, people are on the move, chasing the employment opportunities and looking for new places to live. Companies are expanding and so too is demand for office space, alongside retail opportunities and fresh demand for entertainment and leisure facilities. So why then have many outside China failed to see the potential and the opportunities being offered by this new economic push: the Belt and Road Initiative? Launched by China’s president Xi Jinping in 2013, the initiative will see a cumulative investment of between $4tn (£3tn) and $8tn into projects and businesses along two global routes – the old maritime routes (the Belt of the project), and a 21st century Silk Road (the Road). These include six corridors: the New Eurasian Land Bridge, which will run from western China to western Russia; the China-Mongolia-Russia corridor; the China-Central Asia-West Asia corridor, running from western China to Turkey; the China-Indochina Peninsula Corridor, running from south China to Singapore; the China-Pakistan corridor; and the Maritime Silk Road, which runs from the Chinese coast across Singapore and to the Mediterranean. The fact that this initiative is backed by such a significant chunk of cash means this is more than a mere notion or presidential policy statement. It is happening and it will kick-start massive, China-funded infrastructure projects such as the construction of the Karot hydropower station near Islamabad. With an estimated construction cost of around $2bn, the project, once finished, will bolster the Pakistani economy. Local businesses will flourish and will have the visibility and scope to trade more extensively with China and other global superpowers. Then there is the new freight train service running both ways from the city of Yiwu in China on a journey of 7,500 miles to Barking in east London. Terminating just a few miles from where construction is now well under way at the new ABP Royal Albert Dock business district, this service will link companies from Asia to new markets in the UK and Europe. The Belt and Road initiative will allow ideas, trends, patterns and growth to travel in between continents, countries and cities. If you have not heard much about it just yet, it won’t be long before you do – it is coming your way. Just don’t wait too long, or you might miss out on one of the world’s most ambitious advances towards successful and mutually beneficial globalisation. • Neil Robinson is head of global communications at ABP