China Railway Resources to hike investments in DRC

As collaboration between China and African countries presents vast opportunities, China Railway Resources Group is planning to strengthen cooperation with partners in the Democratic Republic of Congo (DRC), a senior company executive said.

"We will continue to leverage our advantages, technology and management to boost mutual development, engage in broader and deeper cooperation with companies in the DRC, and play a reliable role in the economic and social development of the country," said Lu Heyou, general manager of China Railway Resources, a unit of China Railway Group Ltd.

As early as 2008, a consortium of Chinese companies led by China Railway Group Ltd initiated cooperation with the government of the DRC on a series of mining development and infrastructure construction projects.

As of August, cumulative investments in the projects had exceeded $5.3 billion.

Over 40 infrastructure projects have been completed in various regions of the DRC. Over $20 million has gone into fields related to corporate social responsibility, such as local and surrounding community welfare, including transportation, healthcare and education.

"Sino-African cooperation is playing an increasingly important role in driving development in Africa. China's rapid development can offer African countries a reference in finding a development path and policies suitable for Africa's own modernization," said Liu Hongwu, head of the Institute of African Studies at Zhejiang Normal University.

Liu said China-Africa cooperation is poised to achieve breakthrough development in areas such as technological innovation and the digital economy.

He said in recent years, China has accumulated rich experience in technology applications and the digital economy, while sectors like new energy hold vast potential in Africa.

Ye Hailin, dean of the China-Africa Institute at the Chinese Academy of Social Sciences, said China has been Africa's largest trading partner for 15 consecutive years, and there has been rapid growth in the country's direct investments in Africa.

Ye said China's infrastructure projects in Africa have played a significant role in local development. In the future, the structure of China-Africa trade needs further diversification, with greater potential in new areas of commercial cooperation such as e-commerce and green development.

According to the National Development and Reform Commission, China-Africa trade volume reached $282.1 billion in 2023, the second consecutive year it reached historical highs. By the end of last year, the nation's direct investment in Africa exceeded $40 billion.

During the 2024 Summit of the Forum on China-Africa Cooperation, China vowed to launch partnership actions with Africa and provide 360 billion yuan ($50.6 billion) in financial support in the next three years.