The Information Office, International APRIL 2019 Department of the CPC Central Committee 1 APRIL 2019 XINHUA

Chinese President Xi Jinping meets the press after the leaders’ roundtable meeting of the Second Belt and Road Forum for International Cooperation in on April 27

90 international organizations, including heads of state and government and lead- ers from the UN and the International A New Stage Monetary Fund (IMF). The number was much more than the participation in the The Belt and Road Initiative advances after years of First BRF two years ago. Chinese President Xi Jinping proposed hard work and development By Yu Lintao to build the Silk Road Economic Belt and the 21st-Century Maritime Silk Road, collectively known as the Belt and Road espite some governments and second gathering of world leaders to discuss Initiative, in 2013. people in the West conjuring up argu- the development of the initiative in Beijing The Belt and Road Initiative is about Dments of “neocolonialism” or a “debt showed that. jointly meeting various challenges and risks trap” to smear the Belt and Road Initiative, The Second Belt and Road Forum for confronting mankind and delivering win- the -proposed blueprint for com- International Cooperation (BRF) held on win outcomes and common development, mon development of the world is becoming April 25-27 gathered some 5,000 partici- Xi said at the opening ceremony of the increasingly welcome. The success of the pants from more than 150 countries and Second BRF. APRIL 2019 2

“The Belt and Road cooperation em- told Beijing Review. infrastructure construction at various braces the historical trend of economic Also, the third-party market coop- levels is indispensable. The Belt and Road globalization, responds to the call for im- eration that the Belt and Road Initiative Initiative is a future-oriented project that proving the global governance system and advocates enables developed countries to will contribute to globalization. Everyone meets people’s longing for a better life,” he play a vital role, he said. With the participa- can benefit from improving and upgrading added. tion of more Western developed countries, infrastructure, he said. In its sixth year of development, more the misunderstanding over the initiative According to Patrick Mendis, a visiting and more people have become familiar will be dispelled. Effective resource alloca- professor at Peking University, by its design with the Belt and Road Initiative and real- tion and deep market integration among and nature, the Belt and Road Initiative is ize they need to engage with it, Kerry developed and developing countries in Belt the new accelerator for greater coopera- Brown, Director of the Lau China Institute and Road construction will create a win-win tion and collaboration among people and at King’s College, London, told Beijing situation, Yang said. nations. Review. He noted that becoming part of In an interview with the Chinese media “For European countries, China has al- the initiative conforms to the interests before heading to Beijing, Ueli Maurer, ready established itself as a reliable partner of other participating countries, and is a President of the Swiss Confederation, for mutual benefits,” Mendis told Beijing tangible way to engage with China, the said the Belt and Road Initiative is a rare, Review. second largest economy in the world. long-term plan that has created a new di- Though some countries still don’t, they mension for the development of the world are in the minority. economy. For a better world During the forum, cooperation agree- Globalization is the key to global de- The Belt and Road Initiative was ments worth over $64 billion were signed velopment, and to achieve globalization, launched to enhance cooperation and at a CEO conference. To date, 126 coun- connectivity. Under it, a connectivity tries and 29 international organizations framework consisting of six corridors, six have signed agreements with China un- connectivity routes and multiple countries der the framework of the Belt and Road and ports has been put in place. East Africa Initiative, with Italy and Luxembourg the Infrastructure has its expressway, the Maldives saw its first latest signatories. Connectivity Under the inter-island bridge come up, Belarus is pro- ducing sedans, and the number of freight Belt and Road Initiative trains between China and Europe is on the Expanding partnership rise. German Economy Minister Peter Six Major Corridors: Tajik President Emomali Rahmon called Altmaier said during the Second BRF that the Belt and Road Initiative a multi-faceted EU countries have signaled their willing- New Eurasian Land “bridge” that can help unlock the transit ness to participate in the initiative and Bridge potential of his landlocked country and en- are planning to sign a memorandum of China-Mongolia-Russia able it to access markets worldwide. understanding as a group. This belies the “The Belt and Road Initiative implies forecast by naysayers that the initiative will Economic Corridor creating a new model of international only develop into an alliance of developing China-Central Asia-West Asia cooperation by strengthening the exist- nations. Economic Corridor ing mechanisms, as well as seeking and Former French Prime Minister implementing new mechanisms, with the Jean-Pierre Raffarin said the European China-Indochina Peninsula aim of stimulating the economic develop- recognition of the Belt and Road Initiative Economic Corridor ment of the countries involved,” Rahmon has improved vastly from questioning to said. understanding it. The countries that stay China-Pakistan Economic During the Second BRF, Pakistani outside the initiative may lose a historic Corridor Prime Minister Imran Khan said in to- opportunity for further development, he Bangladesh-China-India- day’s world of geopolitical uncertainty, added. rising inequality and trade barriers, the Yang Jian, Vice President of the Myanmar Economic Corridor Belt and Road Initiative offers a model Chinese think tank Shanghai Institutes for of collaboration, partnership, connectiv- International Studies (SIIS), called the initia- ity and shared prosperity. He called the tive an engine of development in a world Six Connectivity Routes: China-Pakistan Economic Corridor not faced with common challenges such as Railways a transaction but a transformation of uncertainties and instability. Pakistani society. “The reason why the Belt and Road Roads Malaysian Prime Minister Mahathir Initiative is gaining wider and wider rec- Ports Mohamad told the media that he fully sup- ognition is that besides promoting the ports the Belt and Road Initiative. “In the development of participating countries, Air transport promotion of relations between countries, it has also contributed to the recovery Energy facilities the distance as well as the speed of travel of the world economy after the global is very important. With this scheme, I am financial crisis, and conforms to the UN Communication facilities quite sure more ships will be passing near Sustainable Development Goals,” Yang Malaysia and Southeast Asian countries s s 3 APRIL 2019 XINHUA

Chinese President Xi Jinping takes a group photo with foreign leaders and heads of international organizations during the Second Belt and Road Forum for International Cooperation in Beijing on April 27 and therefore it will increase trade between that adapt and change accordingly. “As the Southeast Asia and China,” he said. “I am Belt and Road 2.0 best corporate practice, the governance sure my country, Malaysia, will benefit from In his speech, Xi announced a package of the Belt and Road Initiative must then the projects.” of proposals to advance high-quality de- adjust and refine its policies and actions to Over the past years, Belt and Road co- velopment of the Belt and Road Initiative, meet the needs of changing circumstances operation has expanded from the Eurasian calling on the international community to on the grounds,” he added. continent to Africa, the Americas and join hands to work out a “meticulous paint- Yang of the SIIS said Xi’s new proposals Oceania, opening up new space for the ing” of the initiative. will dispel misgivings about the initiative. world economy with better-than-expected The principle of extensive consulta- The open, green and clean approaches as results. China’s development achievements tion, joint contribution and shared benefits well as sustainable development of the Belt have been shared with other Belt and Road should be upheld, Xi said, stressing open, and Road construction that Xi stressed will participating countries as its huge demand green and clean approaches, as well as help alleviate fears about the initiative be- for imports and increasing outbound in- high-standard goals for improving liveli- ing a debt trap or a form of neocolonialism. vestment has generated enormous growth hoods and sustainable development. It will also improve transparency of Belt and opportunities. Observers said the Belt and Road Road projects. China’s direct foreign investment in Initiative is entering a new stage of devel- IMF Managing Director Christine other countries participating in the Belt opment. Lagarde hailed the Chinese Government and Road Initiative has exceeded $80 “The first stage was setting the frame- for taking positive steps with a new debt billion. The total trade volume between work, docking strategies and building sustainability framework and green in- China and those countries topped $6 tril- partnerships with other participating coun- vestment principle for Belt and Road lion in the 2013-18 period, during which tries. Now, the new stage of development projects. more than 244,000 jobs were created means implementation with concrete “Debt sustainability and green sus- locally. steps and appropriate approaches. That is tainability will strengthen Belt and Road For instance, in Kenya, the Chinese- what we call from blueprint to meticulous Initiative sustainability,” Lagarde said. funded and built Standard Gauge Railway painting,” Zhai Kun, a professor at Peking Klaus Schwab, founder and Executive linking Nairobi and Mombasa, called the University, told Beijing Review. Chairman of the , “project of the century,” has created Since the participants have different who attended the First BRF as well, told the 50,000 local jobs and boosted the coun- levels of development and different infra- media that when the First BRF took place, try’s economic growth by 1.5 percent. structure systems, it is quite natural that the Belt and Road Initiative was “still a child According to a study, the the Belt and Road Initiative will evolve from growing up.” But “now the initiative has Belt and Road Initiative will increase the time to time in order to attract different become an adult, which means that it has GDP of East Asian and Pacific developing stakeholders, the professor said. become an important factor in the global countries by 2.6 percent to 3.9 percent Mendis said the best organizations in economy. It has grown up,” he empha- on average. the world are the “learning organizations” sized. CI APRIL 2019 4

ances and leagues have been established covering museums of the Silk Road, Connecting Hearts theaters, art festivals, libraries, and art mu- seums and galleries. According to the Chinese Academy The Belt and Road Initiative helps promote people-to- of International Trade and Economic Cooperation, an affiliation to the Ministry of people connections By Lu Yan Commerce, by the end of 2017, China had signed cultural cooperation agreements with 157 countries and nearly 800 action uring his world exploration voyages Forum for International Cooperation (BRF) plans on cultural exchanges in total. Thus in the 14th century, China’s Admiral held in Beijing on April 25. He noted that a cultural exchange and cooperation net- DZheng He led fleets of thousands of he hopes to look for more opportunities for work covering major countries and regions ships and tens of thousands of people to archaeological cooperation between China has taken shape. the Red Sea, establishing cultural exchang- and Saudi Arabia during his trip to Beijing. es between China and countries along the According to Al-Zahrani, under the joint route, including Saudi Arabia. program, Saudi Arabian researchers came Promoting tourism Centuries later, a joint China-Saudi to China and exchanged archaeological Cultural tourism cooperation between Arabia archaeological exploration team techniques. Along with promoting histori- China and other countries participating in from the National Cultural Heritage cal research, such joint archaeological work the Belt and Road Initiative presents a di- Administration and the Saudi Commission also enables the two peoples to gain a bet- versified and brand-building trend. Tourism for Tourism and National Heritage (SCTH) ter understanding of each other. Year events have been carried out between followed Zheng’s footsteps to the Al-Serrian In 2016, the Roads of Arabia expo came China and countries like Kazakhstan, Nepal site in Saudi Arabia’s Al-Qunfudah to carry to the National Museum of China in Beijing, and Laos; in addition, a series of dialogues out archaeological work to find imprints of showcasing more than 300 Saudi Arabian and activities have been held, including the ancient maritime trade. antiques, while two years later, the China World Conference on the Development of “The Belt and Road Initiative enables Treasures exhibition was held at the Riyadh Tourism, the Tourism Ministerial Meeting such archaeological cooperation projects National Museum. The over 250 items of Countries along the Silk Road Economic to bring together the peoples from our two on display helped Saudi Arabians to learn Belt, the Silk Road International Culture countries, which both have long civilizations about Chinese history and culture. Forum and Belt and Road sessions at inter- and rich cultures,” Dr. Abdullah Al-Zahrani, Promoting people-to-people bonds is national film festivals, among others. General Director of the Archaeological one of the focuses of the Belt and Road Nearly 30 Chinese international cultural Research Studies at SCTH and a team Initiative. Marked results can be seen since and tourism brands have been established, leader of the China-Saudi Arabia archaeo- the initiative was proposed in 2013 by including Happy Spring Festival, Travel logical crew, told Beijing Review during Chinese President Xi Jinping. To promote to the Silk Road, the Visiting Program for the Thematic Forum on People-to-People cultural exchanges among Belt and Road Young Sinologists, Chinese Culture Talk, Connectivity of the Second Belt and Road participating countries, international alli- Travel to the Grand Canal, Travel to the

XINHUA Qinghai-Tibet Plateau (Sky Way) and the Arabic Arts Festival. In 2018, Happy Spring Festival was held in 53 Belt and Road par- ticipating countries. Moreover, a number of measures have been introduced to facilitate personnel flow. In November 2017, China’s State Administration of Foreign Experts Affairs, the Ministry of Foreign Affairs and the Ministry of Public Security jointly issued the Measures for the Implementation of the Foreign Talent Visa System to further increase the scope and duration of talent visas. Since January 1, five Chinese cit- ies, namely Xiamen, Qingdao, Chengdu, Kunming and Wuhan, have adopted a 144- hour visa-free transit policy for foreigners, which allows air passengers who have an onward ticket with a confirmed seat and date to a third country or region from 53 qualified countries, including Russia, the U.S., the UK, France and Germany, to transit

Russian medical students learn Chinese massage therapy at a hospital in Lanzhou, capital of northwest China’s s s Gansu Province, on May 12, 2017 and stay for up to 144 hours without a visa. 5 APRIL 2019 XINHUA In terms of outbound travel, Chinese citizens can now visit over 70 countries and regions without a visa or by obtaining a visa upon arrival. China has established a full reciprocal visa-free policy with 14 coun- tries including the UAE, Serbia, Belarus, Qatar and Bosnia and Herzegovina, while 15 countries and regions provide Chinese citizens with the privilege of visa-free en- try and 44 offer visas on arrival. China has also concluded 71 agreements (or made arrangements) to simplify visa procedures with 42 countries. In 2018, a total of 149.72 million out- bound trips were made by Chinese tourists, while foreign travelers made 30.54 million trips to China, according to statistics from the Ministry of Culture and Tourism. The number of people involved in two- way tourism exchange between China and other Belt and Road participants is expect- ed to exceed 85 million, as tourism reaches about $110 billion by 2020, according to a green book on tourism released by the Chinese Academy of Social Sciences in Students from the Italian International School visit an exhibition of picture books created by Chinese children dur- January. ing the 55th Bologna Children’s Book Fair in Italy on March 28, 2018 “Tourism can connect people’s values in different countries,” said Laura Chavarro, Senior Manager of American Continent, tablished 154 Confucius Institutes and 149 the prevention and control of contagious World Tourism Cities Federation. The fed- Confucius Classrooms in 54 Belt and Road diseases and health assistance to talent eration has organized meetings and other participating countries. cultivation and promotion of traditional activities to promote tourism and tourism- Tian said in the future, intergovern- Chinese medicine, China has made consis- related business between China and Latin mental educational cooperation will be tent efforts to deepen cooperation in the America. She said she believes that tourism upgraded and exchanges will be deepened, health field with other Belt and Road par- between China and Latin America will in- so as to cultivate more professionals to fa- ticipants. crease with the further development of the cilitate Belt and Road construction. The Chinese Government signed Belt and Road Initiative. a Memorandum of Understanding on Health Sector Cooperation under the Belt Better lives and Road Initiative with the World Health Educational exchanges Pan Xiangbin is a cardiologist at Fu Organization, while the Brightness Action Educational cooperation is another Wai Hospital and an active participant in medical assistance project has benefited a major part of cultural exchanges under the medical exchanges and assistance pro- number of cataract patients in Africa and initiative. The Chinese Government has grams under the Belt and Road Initiative. Asia. provided scholarships for around 10,000 In November 2018, during a business trip In addition, China has cooperated with students from countries along the Belt and to Uzbekistan, Pan operated on a local Central and Eastern European countries in Road each year. By November 2018, it had pregnant woman who was suffering from such areas as the prevention and control established cultural exchange mechanisms heart failure symptoms, using an advanced of contagious and chronic diseases and with Russia, the U.S., France, the UK, the percutaneous intervention therapy devel- vaccinations; worked with Southeast Asian European Union, Indonesia, South Africa oped by his team and ultimately saving her countries like Myanmar, Viet Nam, Laos, and Germany; set up educational coopera- life. In March, he heard the good news that Cambodia and Thailand to launch a joint tion and exchange relationships with 188 the woman had successfully given birth to control program on resistance to anti- countries and regions; and conducted edu- a healthy baby. malarial drugs; and furthered cooperation cational cooperation and exchange with 46 “The Belt and Road Initiative has played with Central Asian countries on the control major international organizations, accord- an important role in connecting people’s of tuberculosis. ing to the Ministry of Culture and Tourism. hearts in terms of medical and health Pan said that besides treating pa- Learning Chinese and studying in China work,” Pan told Beijing Review, adding that tients, doctors like him also help train have gained popularity among young he is willing to share what his team has colleagues in Belt and Road participat- people who are influenced by “Chinese lan- achieved in the medical field with countries ing countries and introduce them to guage fever” aroused by the initiative. Vice that need assistance. advanced medical techniques and tech- Minister of Education Tian Xuejun noted Cooperation on public health has nologies. “In this way, more people can during the Second BRF that China has es- delivered broad benefits to people. From regain health,” he said. CI APRIL 2019 6

ering attracted 170 delegates from 22 countries and regions. Delegates shared A People’s Network their stories on various topics during the two-day forum. Many expressed their NGO cooperation gathers momentum in Belt and appreciation for Belt and Road achieve- ments, which have cemented people- Road members to-people bonds among Belt and Road participants. Joseph Kahama, Secretary General LI QING GOs from countries par- of the Tanzania-China Friendship ticipating in the Belt and Road Promotion Association, said people liv- NInitiative pledged to enhance ing in countries participating in the Belt their cooperation in education, health- and Road Initiative are enjoying its ben- care and infrastructure in a bid to efits. It is his hope that more Chinese promote stronger ties among their NGOs will visit Tanzania so that organi- peoples, representatives said at the zations in both countries can expand Second Silk Road NGO Cooperation cooperation to more areas after field Network Forum held in Beijing on April research. 27-28. Boris Guseletov, a research fellow Song Tao, Minister of the with the Institute of European Studies International Department of the of the Russian Academy of Sciences, Communist Party of China Central suggested that in order to promote Committee, said at the opening people-to-people connectivity under ceremony that NGOs should build the Belt and Road Initiative, more ex- consensus based on the Belt and changes and dialogues among youth Road Initiative and use the platform groups and think tanks are needed. He provided by the forum to improve the also said he hopes there will be more cooperation network and share expe- cooperation between media organiza- riences and achievements. tions to help people better understand The Silk Road NGO Cooperation Song Tao, Minister of the International Department of the Communist the initiative. Party of China Central Committee, delivers a speech at the opening To date, 310 NGOs have been Network Forum was founded in ceremony of the Second Silk Road NGO Cooperation Network Forum in November 2017 as part of efforts to Beijing on April 27 involved in the cooperation network advance the Belt and Road Initiative. and 200 exchange activities have In his congratulatory message on its in- as in international cooperation and global been launched in areas such as char- auguration, President Xi Jinping said that governance. ity, emergency rescue and volunteer NGOs play an important role in promoting Hosted by the China NGO Network for services in Belt and Road participating economic and social development, as well International Exchanges, this year’s gath- countries. CI LI QING

Delegates hold a discussion during the Second Silk Road NGO Cooperation Network Forum in Beijing on April 28 7 APRIL 2019

Learning While Developing AIIB chief dispels doubts about the multilateral development bank By Zhao Wei COURTESY PHOTO

Jin Liqun (third left), President of the Asian Infrastructure Investment Bank (AIIB), attends a panel discussion at the Harvard College China Forum in Boston, the U.S., on April 13

n this digital era, I’m very much puzzled AIIB has provided financial support worth Bureau of Statistics last year, China’s by the lack of communication among $7.5 billion for infrastructure projects in infrastructure achieved leapfrog devel- ‘Ihumans,” Jin Liqun, President of the 13 countries and earned a triple A credit opment from 1978 to 2018, with new Asian Infrastructure Investment Bank (AIIB), rating from major rating agencies. roads growing 4.4 percent annually and said when he was asked what the AIIB is, the high-speed railways developing fast to first question at a panel discussion during the account for more than 60 percent of the Harvard College China Forum in Boston on A smart angle world’s total today. April 13. The other major question Jin was The high-speed rail has spurred the Jin said he was puzzled because asked was why China set up the AIIB economic development of the regions since he was appointed inaugural presi- since the World Bank and the Asian along the way, like the Beijing-Tianjin- dent and chairman of the Beijing-based Development Bank are already there. Hebei region and the Yangtze River multilateral development bank in January His answer was that the AIIB was Delta economic circle that encompasses 2016, he has spent a lot of time explain- established to promote infrastructure Shanghai and three provinces, , ing what it is. development. “China, from its own de- Anhui and Zhejiang. In three years, the bank’s members velopment experience, understands how The AIIB’s birth can be traced back to have increased from 57 to 93, the sec- important it is to improve infrastructure,” 2013, when Chinese President Xi Jinping ond largest global membership after the he said. “Infrastructure bottlenecks are announced during his Southeast Asia World Bank. The members have expand- the serious problems of development.” visit the decision to launch a multilateral ed from Asia to the rest of the world. The According to a report by the National development bank to advance infra- APRIL 2019 8

structure investment. The bank aims to there is a lot of learning going on. It is in than 150 countries and organizations provide financing to developing coun- China’s interest for this arrangement to have signed cooperation agreements tries whose growth has been seriously work.” with China to develop the initiative. limited by bottlenecks in infrastructure Jin explained that though the AIIB and Asked whether the AIIB would investment. the Belt and Road Initiative were both support projects in Belt and Road “I think the AIIB has chosen a very proposed by Xi in 2013, the functions of countries, Jin said, “We can support smart angle, which is infrastructure, be- the two are very different. “The Belt and those projects as long as they meet our cause China is truly a global expert on Road Initiative, in my understanding, is a three criteria—financial sustainability, that,” Liu Qian, Managing Director of The platform for all participating countries to environmental improvement and so- Economist Group in Greater China, said work together, including on connectivity. cial acceptance.” He also said there is during the panel discussion. Connectivity is important for economic already a relationship between the two development and regional development, because both have “the purpose of im- and of course for world peace and pros- proving connectivity.” Greater voice perity,” he said. Panelists discussed the so-called Another new feature of the AIIB is The initiative, consisting of the Silk “China threat” perceived by some na- that its board is structured in such a way Road Economic Belt and the 21st-Centu- tions due to China’s rapid development. that members have more opportunity ry Maritime Silk Road, is building policy, “I don’t think the United States and to participate directly in the work of the infrastructure, trade, financial and peo- China would fall into this trap,” Jin said, board. The number of board positions ple-to-people links along and beyond the referring to the phrase coined by for- has been increased to broaden the voice ancient Silk Road routes. So far, more mer U.S. Assistant Secretary of Defense of smaller members in AIIB governance. Graham Allison, indicating an established China, as one of the players, also power’s fear of a rising power, which follows the rules strictly because that’s could lead to war. “The Peloponnesian the only way to make China credible, Jin War told us nobody got anything good stressed. out of it,” he added, referring to the pro- Louis Kuijs, head of Asia econom- tracted ancient war fought by Sparta and ics at Oxford Economics, an economic Athens. “I hope people can learn from advisory organization, supported him, history.” saying loans have to go through strict The Harvard College China Forum procedures to be approved. “I would say developed from an academic journal in in terms of standards, these are interna- 1997. Today it has grown into a leading tional,” he said. student-run China-focused conference Kuijs also pointed out a common fac- in North America, providing a platform tor between the AIIB and the World Bank: for professionals from different indus- “China, by now, has become quite a large tries to address China-related issues. The contributor to the World Bank, which is a annual forum was held in Boston from remarkable shift,” he said. “China is run April 12 to 14. CI by a very pragmatic government and (Reporting from Boston, Massachusetts)

“China, from its own development experience, understands how important it is to improve infrastructure. Infrastructure bottlenecks are the serious problems of development.” —Jin Liqun, President of the Asian Infrastructure Investment Bank 9 APRIL 2019

A New Cooperation Model Italy’s Belt and Road pact with China shows developed countries too can benefit from the inclusive initiative By Dong Yifan

ensure members coordinate their spending with high-end and customized products. policies and maintain sound public financ- Through capacity cooperation, Made-in- es. The Italian Government’s budget draft Italy products will see more opportunities, was rejected by the European Commission more capital and broader markets. as exceeding debt limits, forcing it to revise With the memorandum of understand- the budget. ing, the willingness and motivation for Sino- The author is a Finally, the rising global trade protection- Italian industrial capacity cooperation will research fellow with ism, especially the trade frictions the United be boosted as never before. Italy special- the China Institutes States has provoked with major economies, izes in precise manufacturing and high-end of Contemporary has made the Italian economy, which relies designing, while Chinese companies are International heavily on exports, face new challenges. adept at production capacity and are famil- Relations Though Italy has tried to cultivate new iar with Asian markets. The complementary demand and driving force to vitalize the advantages of the two sides will encourage economy, the challenges it faces both inter- enterprises to further their investment for oing back in history, interactions nally and externally are hard to overcome. mutual benefits. between Xi’an, an ancient Chinese There are huge incentives for Chinese capital in the northwest and the G enterprises to invest in Italy. According to starting point of the Silk Road, and Rome, Fields for cooperation data published recently by the American the end of the ancient trade route, made However, the Belt and Road coopera- Enterprise Institute for Public Policy trade, goods and cultural exchanges tion is anticipated to change things. Italy Research, China’s total investment in Italy flourish between the East and the West. currently has a large demand for infrastruc- from 2005 to 2018 was $24.99 billion, Today, with the world undergoing un- ture investment. According to Eurostat while it invested $41.68 billion in Germany precedented changes, the agreement data, its infrastructure investment in 2018 and $85.33 billion in the UK. Italy, as the between China and Italy to cooperate on was 40 percent below the pre-crisis peak third largest economy in the eurozone, the Belt and Road Initiative, signed dur- and far below the eurozone average. The offers many opportunities for Chinese ing Chinese President Xi Jinping’s state insufficient investment is particularly visible companies. visit to Italy, will not only inject a new and in urban transport. With closer integration The future investment between China powerful impetus into bilateral relations into the Belt and Road, Italy may be able and Italy is likely to move toward greenfield, but also make the initiative broader, more to shake off its insufficient public finan- that is, using local advantages in talent, inclusive and win-win. cial capacity and get more investment technology and scientific research to set Cooperation in various fields under in infrastructure, including multi-party up research and development centers or the Belt and Road framework will be an financing from institutions like the Asian new production lines and create new val- opportunity for Italy to boost its economy Infrastructure Investment Bank (AIIB). ues, employments and taxation. This will against increasing challenges. The Italian In embracing the Belt and Road not only create greater opportunities for economy shrank by 0.1 percent in the third Initiative, Italy, located at the crossroads of Italian high-end workers, but also form a and fourth quarters of 2018, falling into a the Mediterranean, can see its geographi- positive cycle bringing economic benefits so-called technical recession. The annual cal advantages fully utilized. Its ports such to Chinese and Italian companies and eco- economic growth rate was only 0.1 percent, as the ones in Trieste and Genoa can be nomic and social benefits to the country. far lower than the average 1.1 percent in upgraded and their handling capacities pro- Greater people-to-people exchanges the eurozone. The unemployment rate was moted, revitalizing Italy as a new land and will be another highlight of China-Italy as high as 10.5 percent in January, second sea transportation hub. The result will be a cooperation under the framework of the only to Greece and Spain among the EU long link connecting countries from China Belt and Road Initiative. In the days of the members. to Central and Eastern Europe and beyond Western Han Dynasty (206 B.C.-A.D. 25), At the same time, the budget standoff to the Middle East and North Africa. Chinese silk and porcelain arrived in Rome with the EU last year showed that it is hard While small and medium-sized en- along the Silk Road. In the Yuan Dynasty for Italy to boost domestic demand by terprises are the backbone of the Italian (1271-1368), Italian explorer and writer expanding public expenditure. Being mem- economy, cities like Milan also define the Marco Polo came to China and introduced bers of a single-currency bloc, EU countries country with their fashion brands and cre- what he saw and heard there to Europe have to follow a set of fiscal rules laid ativity. The manufacturing industry, with for the first time, setting off an astonishing down in the intergovernmental Treaty on its unique advantages in gas turbines and “China craze.” In the 20th century, Italian Stability, Coordination and Governance to aerospace, has always been synonymous composer Giacomo Puccini began writ- APRIL 2019 10 XINHUA

Italian children perform during a gala marking the friendship between China and Italy in Rome, Italy, on March 21 ing the opera Turandot, basing the story the initiative, which not only brings oppor- In fact, Italy already has some outstand- in China. The theme song of the opera, tunities to developing countries but also to ing achievements in overseas markets Jasmine, became a symbol of the Chinese some of the most developed ones. in the energy, infrastructure and finance culture. At the same time, as a member of the industries. Its oil and gas giant Eni has been Italy today is one of the most popular Group of Seven and a founding member deeply involved in the Middle East and destinations for Chinese tourists, and its of the EU, Italy will contribute its wisdom Africa for many years, and has accumu- opera, football, movies and food are widely to the initiative. For example, it can provide lated rich experience there. As Chinese and appreciated by the Chinese. As the coop- valuable suggestions on how to conform to Italian companies gradually establish busi- eration deepens, academic exchanges, EU rules and standards, respond to social ness partnerships in third-party markets, it literary and artistic performances, sports and economic concerns between the East will help Chinese companies to standardize competitions as well as tourism will be fa- and the West, and promote transparent their operations while going global and cilitated. The initiative will not only pave the and high-standard development of the adapt to local and European business rules. way for trade and investment but also for initiative as well as of some multilateral co- Italian companies can, in turn, use the people-to-people exchanges and exchange operation institutions such as the AIIB. capital and construction capacity provided of civilizations. Italy can also contribute to third-party by Chinese companies to expand their market cooperation under the framework overseas layout and enter their dream of the Belt and Road Initiative. Developed blue ocean markets. Third-party market More on the cards countries are interested in promoting their cooperation between the two countries will The Belt and Road Initiative is a cross- companies in Asia, Africa and the Middle become a model of cooperation between regional economic cooperation initiative to East, and want to utilize the opportunities developed and developing countries and be built and shared by the world as a whole, provided by the development-promoting countries along Belt and Road routes. It will as well as international public goods for blueprint. With the agreement, cooperation prove to the developed countries in the more inclusive global development. Italy’s in third-party markets will be a priority for West that the initiative is inclusive and can participation highlights the inclusiveness of the two countries. truly bring about win-win benefits. CI