Pegged as the most ambitious infrastructure megaproject of all time, China’s One Belt, One Road initiative (OBOR) will stretch from the very edge of East Asia to East Africa and Central Europe, connecting nearly two-thirds of the world’s population. Through continuous networks of highways, railways, ocean routes and ports, the scheme will open up cross-border connectivity and encourage a further integration of international markets.
Aside from kickstarting economic growth across China and many developing nations, many have questioned the true political intentions behind Beijing’s masterplan, fearing potential renminbi internationalization to world domination. Whatever happens, with $1 trillion-worth of infrastructure works planned or already underway, OBOR will transform the Eurasian landmass and reshape global trade as we know it. How China will fund the works still remains to be seen, but a need for private capital involvement is certain, along with co-financing with member governments along the route.
– Asian Infrastructure Investment Bank (multilateral organization)
– Asian Development Bank (multilateral organization)
– China Development Bank
– Bank of China
– Other state-owned banks
– Silk Road Fund (funded mainly with Chinese capital)
– State-owned companies