Record-Breaking Investments in Belt and Road Initiative

China's Belt and Road Initiative (BRI) has reached a historic milestone in the first half of 2025, with investments and construction contracts totaling $124 billion. This figure surpasses the entire year's total for 2024, marking a significant achievement in the initiative's decade-long history.

Strategic Expansion Amid Global Challenges

Analysts highlight that this surge in investment reflects China's strategic push for market diversification, especially in the face of slowing domestic growth and escalating tensions with the United States. The report, a collaboration between Griffith Asia Institute and Fudan University's Green Finance & Development Center, underscores the initiative's growing global footprint.

Sector and Regional Highlights

Energy investments led the way with $42 billion, doubling from the previous year. Africa emerged as the top recipient region with $39 billion, followed by Central Asia at $25 billion. Kazakhstan stood out as the largest beneficiary country, attracting $23 billion in investments.

Shifting Investment Strategies

Notably, China is transitioning from loan-based funding to foreign direct investment (FDI), which increased by 10% year-on-year to $15.9 billion in the first quarter. This shift aims to reduce debt burdens while sustaining influence in partner countries.