Editorial -Africa; The Overseas Entrepreneurs New Playing Field.
-Catiah Li

Last February, during a trip to Nigeria, Britain's then foreign secretary, Jack Straw remarked that what China was doing in Africa now was much the same as what Britain had done 150 years before. Like Straw, some Western scholars and politicians think China is the new colonial power that will exploit Africa’s natural resources and harm its quest for democracy and human rights.

The Chinese government staunchly denies this allegation. During his recent tour of Africa, Chinese Prime Minister Wen Jiabao said, "It is clear there exists two contradictory opinions on China's image and actions in Africa: Colonizing power or capitalist benefactor. The cap of neo-colonialism could never adorn the head of China."

As a country which has suffered under the hands of Western colonizers, China would not want to control Africa's economic and political systems. The Chinese government neither appoints military consultants to African governments nor constructs military bases on the continent. Moreover, China has not used deceitful means to steal and exploit African resources. Relations between China and African countries are grounded on reciprocal benefits, which is not just a slogan but a fact. Financial aid and other investments from China without political conditions are very helpful for African economies. For instance, in 2005, the rate of China's contribution to Africa's total economic growth was at least five percent. Simultaneously, China buys African resources at a fair price to fuel its rapid economic growth.

Although China is not a colonial force, it is a successful capitalist power in Africa. The path it has taken on that continent is consistent with the logic of market capitalism; liberal trade based on fair contracts. Some might argue that China will eventually launch too many companies in Africa and simply focus on profits regardless of the harmful effects on the environment. Excessive development and exploitation of local labor might also be a future problem.

However, Africa's economic development heavily depends on Chinese investments or exports. In return, China will also depend on Africa's resources. China not only buys natural resources from Africa but helps the continent develop its infrastructure (schools, hospitals etc.) and technology. Most importantly, China cannot escape from trade regulations as a member of the World Trade Organization.

To some degree, the Chinese presence in Africa may lead to environmental pollution; excessive development of resources and perhaps friction between Chinese businessmen and local officials. But such issues can be addressed by rule of law. As the leaders of sovereign states, African governments have the power to stop any violation of trade regulations. China has a promise written into the Beijing Declaration of 2006, which declares that Sino-African relations are based on political equality and economic cooperation. We can safely expect China to restrain itself from any harmful societal and political influences while engaging Africa, the last virgin land of capitalism.