The Carbon Externality of Investments Financed by China’s Development Banks: The Case of Energy Investments in Central Asia
Publication in refereed journal


摘要The carbon externality of China’s development finance in the energy sector, particularly under the Belt and Road Initiative (BRI), has not received much attention. Most Chinese overseas energy investments financed by China’s development banks flow into fossil fuel extraction and coal-fired plants. The carbon intensity of Chinese foreign energy investments imposes environmental and social costs on host states. At the same time, Chinese investors face climate policy and regulatory risks relating to the internalization of the environmental and social externalities associated with their energy investments. Building on the literature on the environmental reform of the World Bank, this article critically analyses the carbon-intensive projects backed by China’s development finance in Central Asia. It shows that China’s energy investments in the region will face increasing carbon-related regulatory risks. So far, the transition towards a more environmentally-driven development policy has been limited in China. However, the increasing importance of climate regulations in host countries along the Belt and Road is likely to induce fundamental changes to the project-screening process of China’s energy development finance.
著者Hao Zhang
期刊名稱Journal of World Investment and Trade
頁次335 - 354
關鍵詞carbon externality, China’s development finance, Belt and Road Initiative, climate change

上次更新時間 2021-23-11 於 00:10