English - United Nations Development Programme

growth in countries which receive Chinese FDI than the rest. Variance decomposition of GDP growth in
this group of countries also appears to support the growing influence of Chinese investments and
exports to China on the economy than the rest of the world, particularly in the long run.
The spillover effects of Chinese growth to the rest of the world in general and Asia in particular is well
known. Yet, its influence on Sub-Saharan African economies is a recent phenomenon. Looking at the
turn around in economic growth in Sub-Saharan African economies in the past decade or so and its
potential in reducing poverty and improving social welfare, African countries are now have the potential
to exploit further the growing and competing growth poles such as China and India to their advantage.
Its investments in particular in infrastructure could be broadened to cover the whole economy with an
increasing focus on international trade as a driver of growth.