China Railway Resources to increase investment in Democratic Republic of Congo

Cooperation between China and African countries creates huge opportunities, said one of the company’s CEOs, which is why China Railway Resources Group plans to strengthen cooperation with partners in the Democratic Republic of Congo (DRC).

“We will continue to leverage our strengths, technology and management to promote mutual development, engage in broader and deeper cooperation with companies in the Democratic Republic of Congo, and play a credible role in the country’s economic and social development,” said Lu Heyou, general manager of China Railway Resources, a unit of China Railway Group Ltd.

Already in 2008, a consortium of Chinese companies led by China Railway Group Ltd began cooperation with the government of the Democratic Republic of Congo on a series of projects concerning the development of mining and infrastructure construction.

As of August, the total investment in these projects exceeded $5.3 billion.

More than 40 infrastructure projects have been completed in different regions of the Democratic Republic of Congo. More than $20 million has been allocated to areas related to corporate social responsibility, such as local and surrounding community well-being, including transportation, health care and education.

“China-Africa cooperation is playing an increasingly important role in driving Africa’s development. China’s rapid development can provide African countries with a reference point in finding a development path and policies suitable for Africa’s modernization,” said Liu Hongwu, head of the Institute of African Studies at Zhejiang Normal University.

Liu said China-Africa cooperation is aimed at achieving breakthrough development in areas such as technological innovation and the digital economy.

He added that in recent years, China has gained rich experience in technology applications and the digital economy, and sectors such as new energy have huge potential in Africa.

Ye Hailin, dean of the China-Africa Institute at the Chinese Academy of Social Sciences, said China has been Africa’s largest trading partner for 15 consecutive years and its direct investment in Africa is growing rapidly.

Ye said China’s infrastructure projects in Africa have played a significant role in local development. In the future, the China-Africa trade structure needs to be further diversified, with greater potential in new areas of trade cooperation such as e-commerce and green development.

China-Africa trade volume reached $282.1 billion in 2023, the second consecutive year it reached historic highs, according to the National Development and Reform Commission. The country’s direct investment in Africa exceeded $40 billion at the end of last year.

At the 2024 Summit of the Forum on China-Africa Cooperation, China pledged to launch partnership activities with Africa and provide 360 ​​billion yuan ($50.6 billion) of financial support over the next three years.

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