Belt and Road Initiative (BRI): A Catalyst for Global Economic Growth

Countries participating in the Belt and Road Initiative (BRI) stand to significantly enhance their economic prospects, according to Andrei Ostrovsky, chief researcher at the Institute of Oriental Studies of the Russian Academy of Sciences. Ostrovsky explained that the BRI emphasizes joint development and mutual benefits for all member nations.

To advance the initiative, China has spearheaded the creation of financial institutions such as the Asian Infrastructure Investment Bank and the Silk Road Fund. Ostrovsky highlighted that these institutions enable partner nations to construct infrastructure projects that might otherwise be unattainable independently. He noted that these projects, which are owned by the respective governments, are designed for sustained, long-term use.

Ostrovsky praised the China-Laos Railway as a transformative example of the BRI’s impact. He observed that prior to its construction, Laos lacked modern railways, which severely hampered its economic and social development. With China’s support, the railway has opened new pathways for Laos’s growth and integration into the regional economy.

Beyond infrastructure, the BRI has also contributed to regional economic integration, according to Ostrovsky. It has expanded Customs cooperation, streamlined financial transactions, reduced trade and investment barriers, promoted local currency settlements, and fostered humanitarian collaboration.

Ostrovsky pointed out that the economic significance of the BRI is evident in the growing share of participating countries in China’s foreign trade, which surpassed 40 percent in 2023. This trend underscores the initiative’s effectiveness and widespread impact.

Initially met with skepticism by some European and US experts, the BRI is now recognized by many as a driver of global connectivity, economic development, and the creation of a unified world market. Ostrovsky suggested that the initiative demonstrates China’s commitment to reforming the global governance system and enhancing the role of Global South countries in the global economy.

Amid rising protectionism in Western nations, Ostrovsky urged developing countries to strengthen cooperation and implement strategies to ensure stable and efficient global supply chains. This approach, he argued, is essential for maintaining economic resilience and fostering long-term growth.

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