China invests 26 billion in Equatorial Guinea

May 14 , 2015 The Industrial and Commercial Bank of China has agreed to invest $26 billion in Equatorial Guinea. The bank says a big part of the fund will be used for providing infrastructural and financial support for the Equatorial Guinea government and also for Chinese enterprises that are in the country.

The pact is one of the outcomes of a 5 day state visit of Equatorial Guinea’s President Teodor Obiang Nguema, to Beijing. He was received in a grand ceremony organized by China.

In his meeting with the Chinese President, President Li Jiping repeated his commitment to promoting a cordial bilateral relationship between the nations for mutual development. He also promised to foster a partnership based on mutual trust and equality between the two countries, adding his belief that “China and Africa have always been a community of common destiny”.

Equatorial Guinea is just one of a number of African countries that have attracted Chinese FDI. The China Power Investment Corporation previously put in $6 billion in its bauxite and alumina project in 2012, and for Nigeria and Zimbabwe, the China Railway Construction Corporation very recently signed two construction deals to the tune of $5.5 billion.