China arctic strategy. What is the official Italian policy regarding the Arctic? The Mediterranean that risks being closed to the north by these new Arctic routes and to the south by the growing importance that Africa has in the eyes of China.
When will the Arctic routes be feasible?
How short is the distance along the Arctic?
In addition to the sea, what’s in the Arctic?
Geraci attended China Financial Summit 2017 conference, today in Beijing. In his speech, he said Foreign investors are a little reluctant to invest in the Chinese market especially A-Shares for many reasons. Geraci also believes that Chinese interest rates are not high enough to compensate for risk. Moreover, he thinks it is more difficult for China to export its infrastructure model to foreign countries because foreign governments have no control over infrastructure development.
Last Friday, the Pangoal Institution and TWAI organized the conference “The Belt and Road Initiative and China-EU Economic and Trade Ties.” Guests included Former Prime Minister of Italy, Former President of the European Commission Romano Prodi, President of the Pangoal Institution Yi Peng, Professor from Peking University Enrico Fardella, Former Deputy Administrator of State Administration of Taxation Xu Shanda, Professor of Applied Economics, University of Ferrara Giorgio Prodi and Head of China Economic Policy Program Michele Geraci. We discussed future cooperation between China and EU under One Belt and one Road.
Last year, the bank approved 9 projects, for a total of 1.7 billion USD. 6 of those 9 projects were cooperative projects between AIIB and other banks, like the World Bank and the Asian Development Bank. AIIB only invests 1.7% of its resisted capital. 9 projects does not sound a lot, but it is import to note that most of this projects have concentrated in the transport and energy sectors, which are two of the main key areas of development that central Asia needs.
Michele Geraci talked about global challenges and opportunities under Trump’s era at the opening ceremony of the 2017 CRRC Advanced International Talent Development Programme, at the University of Nottingham, China. Geraci also discussed Trieste port as an example of terminal for the Maritime Silk Road. Trieste port, located at Italy, is a key location for the 21st Maritime Silk Road. It has a big competitive advantage with Central Europe and it has direct links to Germany and, from there, direct links to Scandinavia.
The president of Italy is currently in china for an official state visit. This state visit comes at an interesting time for both China and Italy: the two countries are engaging more than before into a commercial dialogue of mutual respect and common interests, trade between the two counties shows good sign of improvement and Italian trade deficit appears to narrow slightly and capital investments made in the past couple of years have all helped improve the image that the Italian Business community has of China.