Heine Comments on Chinese Banks in Latin America
Ambassador Jorge Heine, Research Professor at the Frederick S. Pardee School of Global Studies at Boston University, was featured in the Latin America Advisor, a publication of the Inter-American Dialogue, a Washington D.C. think tank.
Heine responded to the publication’s feature Q&A, which asked “will China’s banks gain more ground in Latin America?” Heine responded by citing China’s increased investment and bank presence in the region. This increased financial footprint in Latin America, complimented by increased trade, positions China as a top lender, project financer, and foreign investor. Heine also commented that the increase in China’s bank presence in Latin America is striking as the United States’ and European Union’s own mergers and acquisitions in the region decreased in 2020.
An excerpt:
As trade, the original driver of Sino-LAC links, is complemented by foreign direct investment and (diminished) financial cooperation, Chinese commercial banks now step up to the plate to provide more disciplined project financing…With Chinese investment in the region shifting from extractive activities to services, transport, energy, information and communication technologies, and infrastructure, areas that made up half of Chinese investment in LAC in 2016-2019, these banks should help enhance growth and development.
The full response can be read on the Inter-American Dialogue’s website.
Ambassador Jorge Heine is a Research Professor at the Pardee School of Global Studies at Boston University. He has served as ambassador of Chile to China (2014-2017), to India (2003-2007) and to South Africa (1994-1999), and as a Cabinet Minister in the Chilean Government. Read more about Heine on his Pardee School faculty profile.