Italy’s new role in the Belt and Road Initiative has alarmed G-7 allies fearful of China’s expanding reach. Give it time: This project is going to look a lot less Chinese as it unfolds.
At the moment, the heft of the funding for President Xi Jinping’s global infrastructure project comes from policy banks, such as China Development Bank and the Export-Import Bank of China. The $40 billion state-backed Silk Road Fund, and to a lesser extent, the Asia Infrastructure Investment Bank also contribute.
Global competitors may soon join the fray. Standard Chartered Plc said it plans to allocate as much as $20 billion in coming years to Belt and Road projects. That’s just a drop in the bucket considering the $1 trillion tag on Xi’s ambition to connect China by land and sea to cities as far-flung as Nairobi and Rotterdam. But more could be coming.
