GDP Center Paper Explains Impact of China’s Belt and Road Initiative in Indonesia

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In a new working paper published by the Global Development Policy Center (GDP Center) – an affiliate center of Boston University’s Frederick S. Pardee School of Global Studies – researchers at the Center, University of Indonesia Geography Department and Research Center for Climate Change, Colorado State University Department of Human Dimensions of Natural Resources, and the Indonesian Institute of Sciences assess the environmental risks of Chinese foreign direct investment (FDI) projects across Indonesia associated with the Belt and Road Initiative (BRI). 

Chinese investment in Indonesia is unique from other BRI projects, as it’s concentrated in the environmentally sensitive sectors of the metals industry and infrastructure; project environmental and social oversight is left in the hands of the Indonesian government, due to China’s “country systems” approach. The paper, titled “China’s Belt and Road Initiative in Indonesia: Mapping and Mitigating Environmental and Social Risks,” compares the environmental risks between FDI projects and identifies Indigenous communities that may be impacted by multiple risks. Among the key findings of the research are that renewable energy can have significant environmental and social impacts, and Indigenous peoples were affected in 11 out of 14 project sites. 

      The full working paper can be read on the GDP Center’s website.

      The GDP Center is a university-wide research center affiliated with the Pardee School of Global Studies. The GDP Center’s mission is to advance policy-oriented research for financial stability, human well-being, and environmental sustainability. Visit the GDP Center’s website for more.