Five years after the announcement of China’s Belt and Road, the ambitious drive to build new infrastructure across Eurasia has produced a mixed track record on key issues such as its energy footprint, debt sustainability, and environmental impact.
This report highlights recommendations on how the U.S. might effectively engage Southeast Asia’s infrastructure challenges to foster greater stability and financial integration in the region.
Since China announced its ambitious Belt and Road Initiative in 2013, South Korea has actively pursued international initiatives that are independent of Chinese goals and priorities. In particular, the Moon administration’s two-pronged infrastructure vision, dubbed the “New Northern” and “New Southern” Policies, offers insights into how midsize powers in Asia might navigate growing geopolitical uncertainty in the region.
A special report by Nikkei Asian Review and The Banker which leverages data from the CSIS Reconnecting Asia Project has found that China’s Belt and Road initiative holds considerable promise for countries in need of infrastructure investment along its route, however, participation has been hampered by challenges ranging from a lack of participation by local workers and banks to unmanageable debt hangovers.
“I really like China” a diplomat told us a few months ago, “they are the only ones around with a plan for the 21st century.” That plan – China’s Belt & Road Initiative (BRI) – has, however, raised ample concern, from Asia all the way to the Berlin and Washington.