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:Chinas Multi-level Development Game in a Post-Global Financial Crisis WorldDr. Winnie King (DPhil Oxon)University of Bristol, UKking.winnie@gmail.com

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ResumeUniversity of Bristol ()

University of Oxford PhD ()

Research Expertise: ; ;

Area Studies: -, ;

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Argument:Chinas search for growth and economic reform has transformed the international economic systemInfluenced power balance in international relations

Changed the way leading economies (engage with developing economies

Reshaping international relations through apolitical means: economics, diplomacy and social relations

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Question: ? Context: Slowing world GDP, declining exports, unprecedented debt, economic instability

Implications for China: 20 million workers who lost their jobs in the export sector

Chinese growth rate decline 13% (2007) 6.5% (2008)

Exports comprised 39% (2006) of GDP, dropped to 26.7% in 2009

Exposure to Debt

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Debtor Nations and the GFC

Question: ? Turning its Global Financial Crisis experience to its advantageSustained Economic Growth Model: Global Recovery needs : Capital rich economy()How: Investment, Growth, Stability Medium- to Long-Term StrategyPragmatic, Multi-level and Multi-lateral

Cases: EU ()Developed Economy Priorities SSA (i.e.;;;)Developing Economy

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Re-balance Economy

Active EngagementEconomic RestructuringSustained Economic GrowthChinas Economic Reform (2008 )

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Chinas Economic Reform (2008 )

Economic RestructuringDomestic Economy focusPassive learning approach

Economic RebalancingExport dependent

Active engagement and strategic positioningPeaceful and stable environment for growthWork within system

Going Out Policy Developing and Developed Economies

Diversify Economy and AssetsIndustrial Composition

Financial Balance Sheet

Challenging Status QuoFinancial Services & Currency ()Alternative International InstitutionsBRICS (;;;; )

Diplomacy (Regional, State, Population)Market Presence

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Case: EU ()

Case Study: EU ( )OpportunityDebt levelsCrisis context

Motivations

Investment compositionM&A

Who: ; ;

:Diversify EconomyServices; Luxury; Market AccessJob creation, training

Stronger positionstrategic sectors

Promotion of mixed economySOE and SME ()

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M&A

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Office for National Statistics 2013

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RMB and Currency diversification

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Case Study: Sub Saharan AfricaOpportunities:Decline in aid and investment levelsUnderdeveloped MarketsResources

MotivationsSolidarity; South-South

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1bn population

:Natural Resources

Political and Social Alliance

:MultilateralismBRICS development bankCounter-balance US and EU influence

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STRATEGIC POSITIONING

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Chinese Aid to Africa

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Chinese Trade with Africa

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Results:Economic RestructuringMarket AccessAsset holdingsGDP composition

Economic RebalancingMixed EconomyCurrency composition (Eurobonds)RMB Internationalisation (RMB hubs; swap agreements, clearing banks)

Active engagement Growing Presence with little competitionAlternative International InstitutionsTrade Agreements negotiationsAid PolicyDiplomacy Linking populations together on a social and cultural level (soft power)

Cultural, Education, and Training schemes

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ConclusionEconomics powerful toolAccess to marketsPresence in local economyVehicle for Chinese marketPromote people-to-people/consumer-to-consumer contact

Political implicationsPresence in policy-making processIntroduction of new regional and international institutionsCompel other governments into new action/participationDeveloped nations pay attention 1st US-Africa Summit Aug 2014UK rethinking Aid Policy

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Q&A

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