Categories: News

Strengthening Ties: South Africa and China Development Bank Collaboration

South Africa’s Department of Public Enterprises (DPE) and China Development Bank (CDB) signed a Collaboration Framework Agreement to enhance their strategic cooperation and foster growth by exchanging expertise and sharing technical skills. The agreement was signed during the 15th BRICS Summit, reflecting the recent Official State visit of Chinese President Xi Jinping to South Africa.

Building the Foundation of Collaboration

The collaboration was established after Minister Pravin Gordhan and his team held discussions in Beijing with the CDB in May 2020. The agreement expands the scope of cooperation between CDB and South Africa beyond logistics and power utility to other sectors such as mining and forestry.

Empowering SOCs for Economic Opportunity

The Collaboration Framework Agreement aims to provide an enabling framework for ongoing reforms within South Africa’s State-Owned Companies (SOCs), which are vital for driving service delivery, economic opportunity, and improving the lives of the nation’s citizens. CDB’s Vice Chairman and President, Mr. Tan Jiong, highlighted the bank’s existing relationship with Transnet and Eskom and expressed confidence that this collaboration would position South Africa’s SOCs on a path towards future growth.

Strengthening Financial Prowess

The CDB is the world’s largest development finance institution, with over 18.2 trillion yuan (USD 2.5 trillion) in total assets at the end of 2022. Its financial prowess has made the bank a valuable partner for some of South Africa’s most critical infrastructure projects.

Funding Critical Infrastructure Projects

In recent years, the CDB has provided funding for various significant developments in South Africa, such as the construction of the Medupi and Kusile power stations and the purchase of locomotives by Transnet.

A New Chapter in the Relationship

The new Collaboration Framework Agreement between South Africa’s Department of Public Enterprises and China Development Bank signifies a new chapter in the relationship between the two nations. By working together, they are paving the way for mutual growth, development, and prosperity.

The agreement between South Africa’s DPE and CDB is strategically important for both countries as it will empower SOCs and enhance the growth, development, and prosperity of the nation’s citizens. By expanding cooperation to other sectors and continuing to fund critical infrastructure projects, the two nations are strengthening their ties and forging a mutually beneficial relationship.

Serjio Zakharoff

A Russian-Spanish journalist and Cape Town native, channels his lifelong passion for South Africa into captivating stories for his local blog. With a diverse background and 50 years of rich experiences, Serjio's unique voice resonates with readers seeking to explore Cape Town's vibrant culture. His love for the city shines through in every piece, making Serjio the go-to source for the latest in South African adventures.

Recent Posts

Battling Streetlight Vandalism in Kraaifontein: A Community’s Struggle and Hope

In Kraaifontein, a lively part of Cape Town, the community faces a tough battle against…

16 hours ago

The Good Hope Centre: A Legacy in Transformation

The Good Hope Centre in Cape Town is getting a fresh start! Plans are underway…

3 days ago

Discover the My Cape Town Market: A Celebration of Culture and Commerce

The My Cape Town Market is a lively summer event in the beautiful Company's Garden,…

3 days ago

Boatica Cape Town: A Celebration of Marine Innovation

Boatica Cape Town is Africa's biggest boating show, taking place from October 2527, 2024, at…

3 days ago

Navigating the Crime Landscape: South African Police Service’s Dynamic Approach

The South African Police Service (SAPS) is taking strong steps to fight crime and keep…

3 days ago

Unveiling Alexkor SOC Ltd: A Pillar of South Africa’s Mineral Legacy

Alexkor SOC Ltd is a stateowned company in South Africa that started in 1992, focusing…

3 days ago