How Deep are China’s Investments in the Carribbean?

English: Map of the Caribbean by the CIA World...

Map of the Caribbean from the CIA World Factbook (Photo credit: Wikipedia)

China’s Rising Investment Profile in the Caribbean:
Richard L. Bernal
Inter American Dialogue Economics Brief
October 2013

While we hear a lot about China’s focus on Latin America, especially Peru, Chile, Venezuela, and Cuba, you don’t read quite as much about China’s efforts in the Caribbean Basin at large. that is starting to change.

In this paper, Richard Bernal, former Jamaican ambassador to the United States and a permanent representative to the Organization of American States, is largely symathetic to China. He notes that investing in small island republics is probably not as attractive to China as plays on the Latin American Mainland, and statistics back him up. Chinese mining companies have already pledged over $7 billion in direct investment to Per, but total investment in the 13 nations in the Caribbean, including Cuba, has been a comparatively paltry $2.6 billion since 2003.

Bernal admonishes regional leaders that they must work harder to make their countries more attractive to Chinese investment. He’s right, of course, but one wonders whether state leaders in the Caribbean all share Bernal’s implicit optimism about the upside of Chinese FDI.

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