Energy poverty is a pervasive and persistent development issue in Africa. Despite the continent’s rich natural resources, the “resource curse” remains a reality for countries with insufficient generation capacity, aging power plants, weak institutions and a lack of affordable energy finance. Additionally, the continent faces crippling energy deficits driven by urbanization and industrialization, coupled with […]
Since its founding, the International Monetary Fund (IMF) has in theory sought to act as the international “lender of last resort,” providing financing to countries facing balance-of-payments and macrofinancial pressures. However, in the 21st century, the landscape of international rescue lending has shifted. China has become the world’s largest bilateral lender, providing assistance comparable to […]
Driven by geopolitics and the threat of climate change, industrial policy has reclaimed center stage in the comparative political economy of national economies, irrespective of their level of per capita income. However, this turn has been criticized for primarily enticing private capital into serving public agendas in ways that reduce the state to a “derisking” […]
Chinese overseas lending has drawn attention for their support to developing countries in infrastructure development, as well as growing criticism for sovereign debt impacts. However, the institutions and instruments involved in overseas finance vary significantly and have undergone substantial changes over time. While financing has to date been dominated by policy banks, Export-Import Bank of […]
Foreign direct investment is often cited as critical for renewable energy growth in low- and middle-income countries. However, despite the promise of foreign investment, countries like Colombia capable of quickly scaling up solar are still facing an energy crisis. Why has solar installation slowed in countries with experienced foreign investors, but continues to steadily grow […]
Chinese companies have installed over 25 GW of generation capacity in Africa, making up more than 15 percent of sub-Saharan Africa’s installed generation capacity. Despite their undeniable contribution to the power sector in sub-Saharan Africa, the price and investment outcomes of these projects have varied. Chinese companies have been observed to construct both low- and […]
Since the establishment of the Forum on China-Africa Cooperation (FOCAC) in 2000 and the China-Africa Development Fund in 2006, China’s economic ties with Africa have grown and deepened significantly. However, China’s deepening connections and in particular, its foreign direct investment (FDI), in Africa have been the subject of discussion regarding their composition, goals, nature and implications […]
Indonesia remains one of the world’s largest producers of coal, both for export and domestic energy generation. A reliance on coal-fired power plants can have negative impacts on public health and increase risks of stroke, ischemic heart disease, chronic obstructive pulmonary disease and even mortality. If a group of new and large (> 1,000 MW) […]
Amid a weak and uneven economic recovery in the Global South, regional development and infrastructure investment seem to be critical to sustainable development. In particular, infrastructure provision is seen as an “unmissable driver for development” in the sub-Saharan Africa (SSA) region. Aside from institutional reasons, physical infrastructure is critical in facilitating market integration and freeing […]
Overseas development finance plays a pivotal role in China’s expanding global engagement. Existing scholarship portrays Chinese capital as “patient,” due to its higher tolerance of risk compared to Western capital, which prioritizes short-term gains. In a new working paper, David Landry and Keyi Tang demonstrate that this narrative overlooks the calculated decisions behind much of […]