Chinese workers in Africa consistently declined since 2015, IMF paper says
An International Monetary Fund (IMF) working paper focusing on China's economic interactions with Africa has revealed among others, that the number of Chinese workers on the African continent has consistently reduced since 2015.
The paper titled 'Navigating the Evolving Landscape between China and Africa’s Economic Engagements' delves into the progression of economic ties between entities, beginning in the early 2000s.
“Increased Chinese investment in Africa facilitated the significant expansion of Chinese construction companies on the continent. The gross annual revenues of Chinese companies engaged in engineering and construction projects in Africa have steadily risen until their peak in 2015, with the latest number totaling about $37 billion in 2021, a 3 percent reduction from a year prior,” the report indicates.
However, following the peak in 2015, the report indicates that the documented count of Chinese workers in Africa stood at approximately 93,000 by the end of 2021, marking a notable decrease of 64 percent from the figures recorded in 2015.
This decline is primarily attributed to a decrease in funding for infrastructure projects, which was further aggravated by the impact of the coronavirus pandemic, contributing to the decline in Chinese worker numbers across the continent.
“The COVID-19 pandemic has severely reduced the presence of Chinese workers in Africa amidst a reduction of overall Chinese economic activity on the continent, but possibly also because of public health reasons and travel restrictions,” the report stated.
Highlighting the host countries with the highest count of Chinese workers, the report noted, “The top 5 countries in 2021 are Nigeria, Algeria, Kenya, Angola, and the Democratic Republic of the Congo, accounting together for about 40 percent of all Chinese companies’ gross annual revenues from 2021 construction projects in Africa. Nigeria alone accounts for about 11 percent ... In 2019, the top 5 countries with Chinese workers were Algeria, Angola, Nigeria, Zambia, and Kenya, which together accounted for 52 percent of all Chinese workers in Africa. Algeria alone accounted for almost a quarter of the total,” the paper notes.
Further, data compiled by the China Africa Research Initiative (CARI) at Johns Hopkins University's School of Advanced International Studies (SAIS) revealed that the number of Chinese workers in Africa experienced another decline in 2022, reaching a new low of 88,371, marking a continuation of the declining trend that began with a 49% decrease in 2020, primarily attributable to travel challenges posed by the COVID-19 pandemic.
“The top five countries hosting Chinese workers in 2022 were the Democratic Republic of Congo, Algeria, Egypt, Nigeria, and Angola. These nations collectively accounted for 42% of all Chinese workers in Africa,” the Hopkins report notes.
These Chinese workers are involved in various sectors, including construction projects managed by Chinese firms and employment with local companies after relocating from China.
Over the past two decades, China and Africa have established robust economic relations, particularly following China's entry into the World Trade Organization (WTO) in 2001. While political relationships between China and numerous African nations have roots dating back to the Mao Zedong era, economic collaboration has experienced significant growth in recent years.
