At the Johannesburg Summit of the Forum on China―Africa Cooperation (the “FOCAC”) and the Sixth Ministerial Conference, which were convened in South Africa in December 2015, President Xi Jinping, on behalf of Chinese government, announced the upgrading from New-type Sino-African Strategic Partnership to a comprehensive strategic cooperative partnership to conduct 10 Major China-Africa Cooperation Plans so as to create a blueprint for China-Africa practical cooperation and usher in a new chapter in Sino-African partnership. The 10 major China-Africa cooperation plans cover areas of industrialization, agricultural modernization, infrastructure, financial services, green development, trade and investment facilitation, poverty reduction and public welfare, public health, people-to-people exchanges, and peace and security. In respect of economic and trade domains, China and Africa intend to implement cooperation in industrialization, agricultural modernization, infrastructure, green development, trade and investment facilitation, poverty reduction and public welfare, and public health.

Based on extensive consultation with people from all walks of life both in China and in Africa, the economic and trade cooperation plans mentioned above endeavor to bridge Sino-African development strategies and major cooperation fields in consideration of seeking rapid development as common aspiration and following economic and trade cooperation trend for China and African countries in the new situation. Under the guidance of President Xi’s idea of developing relations with Africa with sincerity, real results, affinity and good faith and a more balanced approach to upholding principles and pursuing interests, China focuses on establishing a three-dimensional China-Africa economic and trade cooperation structure in a systematic chain, taking account of long-term and immediate interests, as well as inheritance and innovation. The plans with rich content, vigorous action and wide range are incomparably superior to measures of previous forums. The above economic and trade cooperation plans amply demonstrate China's steadfast support for inclusive and sustainable development of economy and society in Africa. In addition, contributing to Sino-African further practical cooperation, comprehensive sharing of development fruits, and concerted response to opportunities and challenges, these plans will strongly support Sino-African comprehensive strategic cooperative partnership and promote Sino-African economic and trade cooperation to a new high.

Specific interpretations are as follows:

I. China-Africa cooperation in industrialization. China will actively promote Sino-African industry bridging and capacity cooperation by encouraging Chinese enterprises to invest in Africa, jointly building or upgrading a batch of new industrial park, and appointing senior government experts or advisors to African countries. Moreover, China will establish a number of regional vocational education centers and several capacity-building colleges for Africa, train 200,000 technicians for African countries, and provide the continent with 40,000 training opportunities in China.

Interpretations: Cooperation in industrialization will enjoy priority in future development and embodies the demonstrativeness and foresight in China-Africa economic and trade cooperation. Since industrialization is of vital importance in African economic transformation, the Agenda 2063 of African Union (AU) explicitly declares that by the year 2063, the total value of African manufacturing industry will account for over 50% of its GDP, employing over 50% of the new labor force. These goals underline that Africa is required to upgrade the additional value of commodity a step further and improve the skill level of labor force, thus achieving industrialization and economic growth in Africa. For one thing, with an independent and integrated industrial system of complete categories and vigorous ongoing promotion in international capacity cooperation, China’s competitive industries and superior capacities accord well with the needs of African industrialization process. Africa, for another, has aspirations and qualifications to advance those capacities in cooperation with China. The prerequisite has been attained for China-Africa cooperation on industrialization. In consideration of AU's Agenda 2063 and African countries' development plans in terms of industrialization and economic diversification, China will encourage and support Chinese enterprises to expand investment in Africa. In addition, China will start with core aspects of upstream and downstream in industrial development to build intangible infrastructure and tangible facilities, promoting China-Africa cooperation in industrialization in a chain development. Therefore, under the framework of China-Africa cooperation in industrialization, China will focus on cooperation with Africa in following domains:

--Construction of cooperation platform. Based on the market operation in African countries, China will continue its support in developing industrial parks in Africa through multiple investing and financing modes. For example, China will jointly build or upgrade a number of economic and trade cooperation zones including industrial parks, support the construction of infrastructures such as road, water and electricity inside and outside the industrial parks, and assist the construction of public service facilities like standardized plants inside the zone. With these efforts, we can shape the economic and trade cooperation zones into a demonstrative platform in Africa for China-Africa industrial agglomeration and capacity cooperation, thus establishing sound conditions to attract considerable investors for African industrialization.

--Support in planning and arrangement. As developing countries, China and African countries possess similar development tasks and goals. Besides, they can learn development experience from each other. Therefore, with regard to the economic development status in Africa, China will appoint senior experts and advisors to African countries who are in need, providing them with intellectual support in planning and arrangement, policy design, and operational management for Africa's industrialization. Through such assistance, China's successful experience of industrialization will be shared with African countries without reservation.

--Training in management and technicians. Talents are the key to industrialization as well as the core of improving self-independent development capacity in Africa. Since the Beijing Summit of the FOCAC and the Third Ministerial Conference, China has fulfilled its commitment to train 15,000, 20,000, and 30,000 talents of various kinds respectively. For the next three years, China will focus on industrialization as well as fields relating to economic development and people's livelihood, providing training and researching opportunities in China for 40,000 Africans, young people and women in particular so as to arm Africa with more technical and management personnel.

--Training in basic vocational skills. Through joint efforts of Chinese government and enterprises, China will choose, together with Africa, some African countries with strong regional radiating capacity to set up a batch of regional vocational education centers. Effective and sustainable basic vocational skills training will be offered by China through multiple means as technical assistance, overseas training and distance learning in order to equip Africa with appropriate personnel whose expertise is available and to help Africa convert the huge demographic dividend into real advantages in development.

II. China-Africa cooperation in modern agriculture. China will share agricultural development experiences with Africa, transfer the agricultural applicable technologies to Africa, and encourage Chinese enterprises to conduct large-scale cultivation, livestock breeding, and food storage and processing in Africa, so as to increase the local employment and farmers’ income. Moreover, China will implement agricultural enriching projects in 100 African villages, send 30 groups of agricultural experts to Africa, and establish "10 + 10" cooperation mechanism for China-Africa agricultural research institutions. China pays much attention to the poor harvests in many African countries caused by the El Niño phenomenon, and will provide RMB 1 billion emergent food assistance for the affected countries.

Interpretations: Developing modern agriculture and promoting agricultural development and capability are significant for Africa to achieve food security and guarantee the economic development. The agricultural production conditions in Africa are advantageous, so both Agenda 2063 and the Comprehensive African Agricultural Development Plan regard boosting the agricultural productivity, promoting the localization of grain production, developing modern agriculture and ensuring food security as vital development directions, and put forward the development goal of eliminating hunger and food shortages by 2063. China is a large agricultural country and is armed with management experiences and practical technologies in agricultural production which are suitable for African countries to develop agriculture. Besides, agricultural cooperation between both sides has long-standing tradition and solid foundation. Therefore, China will combine Agenda 2063 with agricultural development plans of each African country, to further share agricultural development experiences with Africa and transfer the agricultural applicable technologies. In addition, a comprehensive industrial chain of China-Africa agricultural cooperation will be built on the basis of traditional agricultural cooperation to improve African modern agricultural development, make China-Africa agricultural cooperation benefit more Africans, and contribute to African food security. Hence, concerning China-Africa cooperation plan in modern agriculture, China will focus on cooperation with Africa in the following aspects:
--Implementation of agricultural enriching projects. China will actively mobilize the governmental, enterprises’ and private resources, reside on tour in 100 African rural areas by sending agricultural experts, and focus on teaching and promoting China's agricultural applicable technologies according to actual needs of local agricultural development. In addition, agricultural information service will be provided, and industry organizations will also be established under guidance in order to promote the docking between local farmers and market, improve their skills and increase their incomes, and enhance African rural development.

--Enhancement of agricultural development capability. China will send 30 batches of experts armed with agricultural technologies and groups of professional teachers to African countries, so as to plan the agricultural development jointly with Africa, carry out academic exchange, conduct experimental demonstration, provide technical and teaching guidance, as well as train more local talents in agriculture, supporting Africa in terms of strengthening the construction of agricultural development capability.

--Development of scientific cooperation in agriculture. Agricultural technology is the guarantee of African agricultural modernization, so China is willing to further enhance the cooperation in the transfer of advanced agricultural technologies, the agricultural technology research and development, and the training of agricultural scientific research. On the basis of African agricultural cooperation projects which have been established under China’s assistance, 10 agricultural research institutions will be chosen in each side to set up mutual cooperation mechanism, and carry out research exchanges and cooperation in seed breeding, livestock improvement, pest control, and animal epidemic prevention and control. Moreover, the cooperation mechanism will support African countries in terms of agricultural science and technology innovation, increase the agricultural production capacity and added value of agricultural products in Africa, and support African to develop modern agriculture.

--Provision of emergent food assistance. Affected by the El Niño phenomenon, several African countries suffer much from drought, and their food production decreases a lot. China will provide humanitarian food assistance to the affected countries in Africa according to the requirements of relevant countries, and participate actively in the cooperation within international organizations to aid African countries to alleviate food crisis and enhance African food security level.

III. China-Africa cooperation in infrastructure construction. China will strengthen mutually beneficial cooperation with Africa in the planning, design, construction, operation, maintenance and other aspects of infrastructure, support Chinese enterprises to actively participate in African infrastructure construction such as railway, highway, regional aviation, ports, electricity, and telecommunications to improve the capacity of sustainable development in Africa, and offer support for African countries to found 5 communication universities.

Interpretations: Infrastructure cooperation is a traditional cooperation domain for both sides, and is also significant to the promotion and transformational development of China-Africa economic and trade cooperation. Relatively lagging Infrastructure has been one of the main bottlenecks to restrict African integration and independent sustainable development. Therefore, African Agenda 2063 puts forward the idea of connecting African capitals and commercial centers, improving the efficiency of civil aviation and strengthening the port and shipping industry by high-speed railway network and transportation routes. Besides, African Infrastructure Development Plan also confirms four important domains of energy, transportation, information communication and cross-border water resources, “four lines and six ways” railway network and “three lines and six ways” highway network included. China has obvious advantages in infrastructure construction, and the infrastructure cooperation between China and Africa continues to deepen. The China-Africa partnership has been established in cross-border and cross-region infrastructure construction, which has created conditions for a higher development level of bilateral cooperation. China will persist in supporting African integrated development, and combine it with African infrastructure development vision to fully play the role of cooperation mechanism such as the joint working group of African cross-border and cross-region infrastructure. Through the implementation of a number of key projects, China will also further strengthen the cooperation in infrastructure planning, design, construction, operation, maintenance and all-round fields, and supply advanced equipment, technology, standard and service for Africa to improve infrastructure conditions and business environment. Thus, concerning China-Africa cooperation in modern agriculture, China will focus on the cooperation with Africa in the following aspects:

--Railways, highways and ports. China will combine African planning layout of “four lines and six ways” railway network with that of “three lines and six ways” highway network through a variety of financing patterns and cooperation modes, and encourage enterprises to actively participate in African network constructions of railways, highways and ports. Furthermore, China will cooperate with Africa to build a batch of large projects of highways, railways and ports, provide mature and reliable technologies and equipment to assist the construction of African transportation network and drive the regional economic development.

--Regional aviation. China will continue to propel China-Africa regional aviation cooperation with Africa, on the premise of market operation to deepen the cooperation in aviation investment and operation, provide more commercial equipment, support facilities constructions in Africa such as airports, parts library, maintenance center and aviation schools, enhance the construction ability of airworthiness certification and aviation regulation in African countries, boost cooperation of bilateral products, technologies, standards, facilities, after-sales services and personnel training, and improve African civil aviation operation efficiency and the degree of interconnection.

--Electric power. China will use various financing patterns on the basis of the actual demands of African countries to support African constructions of generation projects in hydropower, thermal power, wind power, photovoltaic power and biomass power, and power transmission and power grid projects, so as to help Africa improve the current situation of constraint on economic growth because of electric power shortage, and supplying continuous power for African development.

--Information communication. China will support the construction of information society and digital economy in Africa, encourage Chinese enterprises to participate in the information network construction, operation and service in African countries on the premise of market operation, and set up modern information and communication network beneficial to Africa’s development.

--Talents and research and development. China will mobilize governmental and enterprises’ resources to participate actively in rebuilding or upgrading 5 communication universities covering aviation, railways and highways, provide all-round support in those aspects like infrastructure, teaching equipment and cooperation scheme, technical assistance and management operation and assist Africa to systemically train professional technical teams in infrastructure, so as to provide the Africa with talents and research and development support for its sustainable development of African connectivity projects.

V. China-Africa cooperation in green development. China will support Africa in environmental-friendly and sustainable development, help Africa conduct 100 clean energy and wildlife conservation programs, environmental-friendly agriculture program and smart city program. China-Africa cooperation will never take the risk of damaging local ecological environment and long-term interests as the cost.

Interpretations: it is the common objective of the two countries to promote economic development and protect environment at the same time. In the rapid development stage, avoiding destroying the ecological environment in the process of economic development is a key point in realizing inclusive and sustainable development of Africa, and it has become a common concern of governments and people in African countries. With successful experience in ecological environment protection and green development, China has always attached great importance to protecting African ecological environment in the economic and trade cooperation between China and Africa. China will strict require Chinese companies to pay close attention to protecting local environment, while strengthening the cooperation in ecological environment protection with Africa in accordance with African practical needs, help Africa devote into green, low-carbon and sustainable development. Therefore, under the program of China-Africa cooperation in green development, China will conduct key cooperation programs with Africa in the following aspects.

--Clean energy and wildlife protection. China will help African countries conduct an array of clean energy and wildlife protection programs, including disaster prevention and mitigation, wildlife protection demonstration, environmental management, meteorological monitoring and clean energy, which aim to help Africa achieve relevant objectives of the United Nations Sustainable Development Agenda 2030.

--Construction of environment-friendly agriculture and smart city. China will carry out a batch of environmental-friendly agriculture programs and smart city programs for African countries, involving research and development of agriculture, planting, manufacturing, storage and processing in terms of environmental-friendly agriculture program, and programs on low-carbon city plan, transportation, architecture, smart grid and big data which are conductive to the city's environmental protection. These programs will promote the sustainable development of agriculture and urbanization process in Africa, and achieve harmony between human beings and nature.

VI. China-Africa cooperation in trade and investment facilitation. China will implement 50 trade-aided programs in Africa to improve its domestic and foreign trade as well as the software and hardware conditions of investment. China is ready to negotiate with African countries and regional organizations about the comprehensive free trade agreement, covering trade in goods, services, investment and other fields, and expand imports from Africa. China will help African countries enhance the ability of law enforcement in customs, quality control and taxes, and conduct cooperation in the fields such as standardization, certification and accreditation, and e-commerce.

Interpretations: as the largest trading partner and one of important investors of Africa, China has been working with Africa to create new growth points of trade and investment cooperation. In the Agenda 2063 of Africa, it is proposed that efforts shall be made to promote the construction of large free trade zones throughout African countries with regional trade weight in African trade reaching 50% and African trade weight in the global trade reaching 12% by 2045, and the realization of free flow of people, capital, goods and services by 2063. According to African development objectives and practical needs, China will continue to help Africa enlarge the investment scale of domestic and foreign trade, improve the structure of trade and investment, expand its exports of non-resource products, improve trade and investment facilitation, and work with Africa to build a more convenient and freer trade and investment environment so as to promote the continuous development of economic integration process in Africa. To achieve these objectives, China will carry out cooperation projects with Africa in the following aspects under the program of China-Africa cooperation in trade and investment facilitation:

--Continue to provide assistance to promote trade in Africa. Considering the different requirements of each African country, China will carry out 50 aid programs to promote trade in African countries, ranging over capacity building, upgrading of customs' commodity inspection and transportation facilities and provision of relevant materials and equipment, in order to help Africa break through the interior market barriers, thus deepening China-Africa economic and trade cooperation from the regional level.

--Conduct cooperation in free trade zones. To support Africa's objective of establishing free trade zones throughout all African countries, China is willing to fully dig the potentials of China-Africa economic and trade cooperation through negotiations with Africa about the comprehensive free trade agreement on trade in goods and services, investment cooperation and other fields, and provide better institutional environment for trade investment on a more free and convenient level, help African products enjoy the benefits of China's enormous market and encourage more Chinese enterprises to invest in Africa.

--Push forward the cooperation in E-commerce. Enjoying broad development prospects in Africa, E-commerce is also a significant means of improving trade and investment facilitation. China will encourage Chinese enterprises to discuss with Africa about the cooperation in "Internet Plus" including E-commerce in line with the market principle, enabling Africa to enjoy the convenience brought by information technology and big data economy with other regions in the world.

VII. China-Africa poverty reduction and public welfare. With further efforts made to alleviate its own poverty, China will, at the same time, increase assistance to Africa by launching 200 "Happy Life" projects and poverty reduction programs benefiting women and children, and release relevant least developed African countries from outstanding debts in the form of inter-governmental zero-interest loans that mature at the end of 2015.

Interpretations: Africa is facing an arduous task to reduce poverty. Poverty alleviation and livelihood improvement constitute common goals of African countries. The Agenda 2063 of Africa countries explicitly declares poverty reduction goals including reducing youth mal-development rate to 10% and children weight deficiency rate to 5% or less by 2025. China is speeding up its national course of poverty reduction, and will strengthen the coordination in this field with African countries through extensive cooperation and by sharing poverty alleviation experience with each other, thus further supporting Africa's poverty reduction progress and helping Africa to continuously enhance its people's life quality and happiness index, and making a joint contribution to improving people's well-being in China and Africa, and in the world. To fulfill these goals, under the program of China-Africa poverty reduction and public welfare, China will cooperate with Africa particularly in the following aspects:

--Implement "Happy Life" projects and other poverty alleviation projects. With active mobilization of government, enterprise and non-government resources as well as extensive cooperation between China and African countries, China and Africa will jointly carry out 200 cooperation programs of poverty reduction and public welfare that benefit African people at the basic level, striving to achieve effective cooperation of closely connecting with people and benefiting people. By bringing into force the "Happy Life" projects, China will help Africa promote its country public service level, reinforce the employability and skill training, improve the community environment and living conditions in country areas, and construct the "last mile" country road, thus enabling African villages to develop at the same pace with modern civilization. China will assign medical tour groups and volunteers to some African areas in need to publicize expertise on material and child health care and drinking water hygiene, and to train local medical staffs, for the purposes of protecting African women' reproductive health and promoting African children' healthy growth. China will also help Africa to upgrade teaching organization and management level on the basis of China-supported elementary and secondary schools and vocational-technical schools in Africa, provide students with learning and living materials as well as basic nutritious meals in the way of sending stationary, articles, books, physical education and culture, consequently entitling more African young people with better learning environment.

--Cancel outstanding debts in the form of inter-governmental zero-interest loans. China will free relevant least developed African countries from outstanding debts in the form of inter-governmental zero-interest loans that mature at the end of 2015 and will verify zero-interest loans, sign the debt-relief agreements and handle formalities for counter-balance accounts with relevant African countries, with the purposes of helping them to reduce debts and elevating their sustainable development abilities.

VIII. China-Africa cooperation in public health. China will participate in the construction of African public health systems for prevention and control such as centers for disease control and capacity, support the demo cooperation of 20 hospitals respectively in China and Africa, strengthen the construction of professional departments, continue to dispatch medical staff to conduct "Lighting" projects and offer medical assistance for women and children, and provide a batch of compound artemisinin antimalarial drugs. Besides, in order to improve drug accessibility in Africa, China encourages and supports Chinese enterprises to carry out drug production localization in Africa.

Interpretations: China-Africa cooperation in the field of public health has been developing rapidly in recent years. In 2014, after the outbreak of Ebola epidemic in West Africa, China took the lead in the rescue, launched four rounds of emergency humanitarian assistance one after another, provided medical supplies and equipment, helped Africa to build diagnosis and treatment centers and biological laboratories, and sent medical workers to fight with African people in the first line. Recently, China has announced the fifth round of assistance to help the economic and social reconstruction of affected countries, which is highly evaluated by international communities and African people. The Agenda 2063 of Africa puts forward development objectives, including completely curbing tropical diseases and infectious diseases like Ebola, dramatically reducing the incidence of non-communicable diseases, and extending the average life expectancy of African people to 75 years old or more. Taking this as the chance, China will, in combination with African development objectives and actual needs, support Africa to comprehensively enhance the capacity of public health prevention and control and independent development from the source. Therefore, China will focus on the cooperation with Africa in the following aspects under the program of China-Africa cooperation in public health:

--Provide assistance for African centers for disease control. China is ready to work with Africa to cope with the challenge of major sudden epidemic diseases, to support Africa to strengthen the construction of the system of public health prevention, control and treatment, to protect the lives, health and safety of African people. According to the requirements of the African Union (AU) and African countries, China will actively study and give support to the construction of African centers for disease control and offer assistance in the information system construction, technology and equipment guarantee, laboratory cooperation, personnel training, scholarships and other aspects.

--Carry out hospital cooperation. In order to help African hospitals to enhance the medical technology and operation management, China will support demonstration cooperation between Chinese and African hospitals. China and African countries will strengthen the construction of professional departments in the selected 20 hospitals, and carry out assistance and cooperation in diagnosis and treatment of patients, medical training, equipment maintenance and operation management of hospitals, etc..

--Send medical workers. China has treated a large amount of African patients through sending medical workers and carrying out "Lighting" activities, and has thus received a warm welcome from African countries. Based on the previous cooperation, China will send short-term medical teams formed by clinical experts to 40 African countries, carry out "China-Africa Friendship Center", offer medical assistance for women and children, present medical equipment and medical consumables, and provide higher-level and more specialized medical services for African people.

--Provide antimalarial pharmaceutical. Chinese famous pharmaceutical chemist Tu Youyou has won the 2015 Nobel Prize in Physiology or Medicine for her outstanding achievement in the research and development of pharmaceuticals used to fight against malaria. Chinese compound artemisinin antimalarial pharmaceutical has played an important role in helping Africa to fight against malaria for years. On this basis, China will continue to provide compound artemisinin antimalarial pharmaceutical of 5 million doses for Africa and make new contributions to fighting against malaria in Africa and strengthening China-Africa medical cooperation.

--Encourage pharmaceutical cooperation. On the basis of market-oriented operation, China will encourage Chinese enterprises to cooperate with Africa in the field of medical research, development and manufacture, support Chinese enterprises to carry out pharmaceutical production localization in Africa, help Africa to comprehensively improve the ability of independence and sustainable development in pharmaceutical industry.

IX. China-Africa cultural cooperation program. China will help build five cultural centers for Africa and help 10,000 villages in Africa implement the satellite TV program; provide 2,000 academic degree education quotas and 30,000 government scholarship opportunities for Africa; organize 200 African scholars to visit China and 500 African youths to further their research or study every year; train 1,000 African practitioners in the field of journalism annually; support the opening of more China-Africa direct flights so as to promote China-Africa cooperation in tourism.

Interpretations: "The amity between people holds the key to sound relations between states". China-Africa cultural exchanges serve as the basis on which the long-term and sustainable development in China-Africa relations as well as in economic and trade cooperation will be achieved. China will continue to support and promote exchanges and cooperation in such fields as arts and culture, news media, think tank of scholars, non-government organizations, youths, women and trade unions. China will consolidate foundations of public and social opinions for China-Africa relations so as to create a good atmosphere for China-Africa cooperation, and pass down and flourish the China-Africa traditional friendship. To this end, under the China-Africa Cultural Cooperation Program, China will undertake in economy and trade the following cooperation with Africa:

--Reconstruction of African cultural centers. Africa boasts a long history and splendid civilization with a rich and diverse culture. China will further China-Africa cultural exchanges and cooperation, help build five African cultural centers and help Africa protect historical and cultural heritage with national characteristics.

--Implementation of the satellite TV program. To further promote China-Africa cultural exchanges and communication among people, and enrich the cultural life of rural people in Africa, China, taking into account the practical and cultural needs of rural Africa, will mobilize resources of the government and enterprises to formulate relevant programs which aim at the implementation of the installation of satellite television in 10,000 villages of Africa.

--Provision of academic degree education and government scholarships. Relying on well-known Chinese universities, China will provide African countries with 2,000 quotas for degree education of doctor's and master's degree and offer disciplines related to national development like politics, economy, management, philosophy, history, health, agriculture, economics and journalism. Moreover, China and Africa will continue to manage more exchanges of experience, learn from each other and share the fruits of development. Meanwhile, China will further increase opportunities of government scholarships for African countries, with the number increasing from 18,000 in the past three years to 30,000 now.

--Train practitioners in the field of journalism. To promote China-Africa cooperation in Media, China will, through the invitation of further study or research in China and the provision of technical assistance as well as technical services for non-Chinese enterprises, train 1,000 African practitioners in the field of journalism annually. The training includes such fields as radio and television technology, News gathering and editing, and new media education.

--Expand cooperation in tourism. Tourism is an emerging industry vigorously developed by African countries based on their own advantages, also a field where China and Africa will make a lot of economic and trade cooperation. China will support Chinese and African civil aviation enterprises to open more China-Africa direct flights, and encourage more Chinese citizens to travel and consume in African countries. Besides, China will also provide support for investment and cooperation to launch more tourism products regarding tourism and other types of trade in services.

To ensure the smooth implementation of the “10 Major China-Africa Cooperation Plans”, China has decided to offer financial support reaching a total amount of USD 60 billion. The support includes the provision of free aid and interest-free loans worth USD 5 billion; the provision of preferential loans and export credit line worth USD 35 billion as well as the increase of concessional loans; USD 5 billion will be invested in the China-Africa Development Fund and special-purpose loan for African SMEs. Among them:

For free aid and interest-free loans, Africa can, taking their practical needs into consideration, communicates and coordinate with Chinese embassies and economic and commercial counselor’s offices in Africa countries, and based on assistance priorities determined in relevant cooperation programs by the two sides, propose specific project needs in industrialization, agriculture, environmental protection, poverty alleviation, public health, culture, talent training and other fields. China and Africa will strengthen cooperation in such processes as project demonstration, feasibility studies, agreement signing and project implementation to put relevant projects into place earlier and bring the benefits to African countries and their people.

For preferential loans and export credit lines, China will, based on China-Africa cooperation practice, determine the actual loan types and amounts by the actual project conditions and assessment results provided by Africa instead of dividing the specific credit lines by country. Africa may, based on its own economic development plan and actual demand as well as the cooperation items identified under relevant cooperation programs between the two sides, propose cooperative projects related to infrastructure and capacity improvement, enhance scientific screening of projects under applications for loans and get the priorities right, so as to ensure the early implementation of the project together with China. Meanwhile, China will further improve the preferential loans by different means, fully consider the actual situation of some African countries as well as specific projects and make flexible portfolios of the interest rates, terms and other factors concerning preferential loans, to highlight the preferential nature of preferential loans.

After three rounds of capital increase, the total amount of China-Africa Development Fund has reached USD 5 billion, and with the injection of USD 5 billion this time, the total amount will be USD 10 billion. At present, the China-Africa Development Fund has been used to invest in African projects related to infrastructure, manufacturing, agriculture, industrial parks, and other fields, playing an important role in driving and stimulating Chinese companies to invest in Africa, and creating economic and social benefits. The further expansion of China-Africa Development Fund will better support the China-Africa cooperation in production, investment, trade and other sectors. (See Appendix 1 for the details of the Conditions and Process for the Utilization of China-Africa Development Fund)

The total amount of the special-purpose loans for African SMEs was USD 1 billion and will reach USD 6 billion after the injection of USD 5 billion. Currently, the special-purpose loans to African SMEs have been issued to over 70 projects in Africa to support small and medium-sized projects in the planting and processing of agricultural products, the manufacturing of light industrial machinery, trade on small ware, and etc., creating a large number of job opportunities in Africa and promoting the development of foreign trade in Africa. With the substantial increase, the special loans will provide strong financial support for the development of SMEs, making the SMEs contribute more to the industrialization and economic diversification in Africa. (See Appendix 2 for the details of the Conditions and Process for the Utilization of the Special-purpose Loan for African SMEs)

Next, China will work and closely cooperate with African countries to earnestly implement projects in economic and trade cooperation under the “10 Major China-Africa Cooperation Plans” proposed at the Johannesburg Summit of FOCAC. Besides, China and African countries will develop specific implementation schemes and cooperative programs, and advance relevant work in a scientific and orderly manner, so as to push China-Africa economic and trade cooperation to a new level, and continue to inject new vitality to the comprehensive strategic cooperative partnership between China and Africa.

Appendix 1: Conditions and Process for the Utilization of China-Africa Development Fund

The China-Africa Development Fund, which is USD 5 billion at present, is one of the 8 measures of pragmatic cooperation with Africa announced by the Chinese government at the Beijing Summit of the Forum on China-Africa Cooperation in 2006. Since its inception, the China-Africa Development Fund has decided to invest nearly USD 3.2 billion for over 80 projects in 35 African countries, to support a batch of agricultural planting and processing projects, automobile, leatherworking, home appliances, glass, cement, pharmaceutical production and other off-take potential cooperation projects, power plants, ports, ocean shipping, aviation and other infrastructure projects, as well as digital TV, industrial park, energy, mining. Those projects, after implementation, will drive Chinese companies to invest USD 16 billion in Africa, create 1 million local jobs, increase USD 2 billion in Africa’s foreign exchange, and generate tax revenues of USD 1 billion. It vitalizes the China-Africa trade and economic cooperation in the new period, produces good economic and social benefits in Africa, consolidates the basis of economic development in Africa, enhances the Africa's self-development capacity, and promotes African competitiveness in the global economic pattern. It is well accepted by Africans, and has become the main platform for China's investment in Africa. In December 2015, at the Johannesburg Summit of the Forum on China-Africa Cooperation, President Xi Jinping declared that "additional USD 5 billion will be granted for China-Africa Development Fund"; it is envisioned to grow to USD 10 billion. China will continue to give play to the role of China-Africa Development Fund, encourage and support Chinese enterprises to invest in Africa. We can also help find Chinese enterprises to collaborate on African projects; any qualified enterprise can apply for it.

Fund property: The China-Africa Development Fund is sponsored by the Chinese government as investment fund on Africa. Upholding the cooperation concept of "truthfulness, honesty, closeness and honesty" and the principle of government guidance, businesses being the major actors, market operation and win-win cooperation, these plans aim at addressing three bottleneck issues holding back Africa's development, namely, inadequate infrastructure, lack of professional and skilled personnel, and funding shortage, accelerating Africa's industrialization and agricultural modernization, and achieving sustainable self-development. The China-Africa Development Fund will revolve around ten cooperation plans with Africa, follow the project selection criteria of "strategy necessity, financial balance, sustainable development of the organization", and mainly support "the three networks and industrialization", industrial connection and off-take potential cooperation, “going out” of equipment manufacturing industry, agriculture and people's livelihood, industrial park, etc.

(1) To help enterprises solve the capital financing of investment in Africa, and share the risk of investment in Africa.

(2) To take advantage of the fact that the Fund is familiar with African national conditions and investment environment to provide value-added services and help enterprises solve the problems and difficulties in investment in Africa.

(3) To play a role of bridge. To look for good investment projects for domestic enterprises, and look for Chinese partners for African enterprises and projects in Africa.

Utilization principle: The China-Africa Development Fund mainly invests in Chinese enterprises engaging in economic and trade activities in Africa, and projects and enterprises invested by Chinese enterprises in Africa. Generally, the Fund will not control any company, or become the largest shareholder. The specific utilization ways includes:

(1) Equity investment: Directly invest enterprises or projects in common stock.

(2) Quasi equity investment: Preferred stock, convertible bonds, hybrid capital instruments, and other forms.

(3) Fund investment: As "fund of the Fund", in accord with national policy on the diplomatic as well as economic and trade cooperation in Africa, to invest appropriate proportion of capital to other funds.

Applicable Customers: China-Africa Development Fund mainly encourages and supports Chinese enterprises to invest in Africa. We can also help find Chinese enterprises to collaborate on African project, any qualified enterprise can apply for it. An applicant should have good credit records, credit ability, at least have a good investment and financing ability; Company's equity relationship and the governance structure is clear, with a harmonious relationship between the shareholders, balance sheets and debtor-creditor relationship are transparent; Have its own proprietary technology or access to other institutions' technology; Have a good market development potential and continued profitability; Have a definite African business development strategy, and project team have certain experience in Africa; Have a highly efficient, experienced management team, and have the ability to accomplish strategic objectives and plans; and Have strong influence in the project-host country, and have a good relationship with local government and enterprises.

Application procedures: Government and relevant institutions may recommend projects to China-Africa Development Fund; enterprises file investment application to China-Africa Development Fund; China-Africa Development Fund firstly put the project in project reserve, and conduct due diligence and review, conduct business negotiation, prepare investment proposal, and submit investment decisions after all conditions are satisfied. For the adopted projects, the Fund may sign relevant legal documents with partners, and make investment according to the project progress, and manage the project until exit of the investment.

Appendix 2: Conditions and Process to Use the Special Loan for Development of Small and Medium-sized Enterprises in Africa

Within the framework of China-Africa Cooperation Forum, China Development Bank sets up the special loan for development of small and medium-sized enterprises in Africa to broaden the African small and medium-sized enterprises' financing channels, to brisk local economy, increase employment as well as import and export trade, to promote the level of the local people's livelihood. The special loan of USD 6 billion in total will be provided to qualified African small and medium-sized enterprises to mainly support African small and medium-sized enterprises and people's livelihood fields such as forestry and fishing, and it is the concrete implementation of the measures of China-Africa Cooperation Forum.

The special loan for development of small and medium-sized enterprises in Africa is a policy with commercial, inclusive and flexible characteristics.

Policy: It is one of the eight new measures for China-Africa pragmatic cooperation announced by Chinese government in 2009 on the 4th Ministerial Meeting of on China-Africa Cooperation Forum, which aims at realizing China-Africa practical cooperation, and deepening China-Africa partnership through helping African small and medium-sized enterprise to solve the financing problem.

Commerciality: As it is non-government fund, China Development Bank sets the loan price on the basis of factors such as the commercialized principles, the project significance, the credit rating of the borrower, and the project risk assessment result.

Inclusiveness: In accordance with the practical situation of each country as well as the policy of “One Country One Policy”, this special loan project strives to benefit every African country.

Flexibility: This special loan project fits into the financing requirements of the various small and medium-sized enterprises in the form of either fixed asset investment loans or working capital loans; the maximum loan term is 5 years; currency of either U.S. dollar, Euro or RMB is available; either fixed or floating interest rate is acceptable; the withdrawal and repayment schedule goes with the consultation and negotiation between the two sides.

Criteria on African small and medium-sized enterprises: This special loan project conforms to criteria prescribed by relevant departments subordinate to the local government of the country or the criteria popularly recognized by the local market of the country. It also accords with the criteria upon which an enterprise is approved by the local government as a small or medium-sized enterprise, with reference to the criteria of other national and regional financial institutions of almost the same economic development status.

Main supporting areas and industries include but not limited to: the tertiary industry (commercial distribution, and services), infrastructure (electricity, agricultural water resources, irrigation facilities, and transportation), basic industries (export-oriented industry, agriculture, building materials industry, deep processing, medical and health care, and communication), and other industries (energy conservation and environmental protection, and culture and education)

Two modes: on-lending loan: The borrowers can be financial institutions approved by the government of the place that the project locates in or other qualified institutions. The China Development Bank provides a certain credit line to the borrower, which will then be on-lent to the local qualified small and medium-sized enterprises by several ways of guarantee with national sovereignty and commercial insurance by multilateral financial institutions, and through mortgage or pledge.

Direct loan: For the projects which are relatively mature, with good market potential, good effect on people's livelihood and controllable risks, the mode of direct loans can be applied. Borrowers or its shareholders are substantial foreign investment enterprises, and Sino-foreign joint venture enterprises. The China development Bank directly makes loans to borrowers, and the final repayment responsibility will be borne by the borrowers.

Application materials include: loan application, applicant's certificate documents, the applicant's financial report, project feasibility study or related business plan, project related important contracts and legal documents related to the project, documents related to the credit structure, and other relevant materials required by the China Development Bank.

Translated by Hou Zuowei
Proofread by Eddiea