Investment in Africa Farming by China Bank

from Reuters, UK

We dont often find stories about the China Development Bank. But here is one that talks about their plans to invest more in African Farming. Governor of the Bank, Chen Yuan spoke to African finace ministers on Friday.

NOUAKCHOTT - "China Development Bank is anxious to work in the area of agriculture. Given the current scenario of a great shortage of food and food price hikes I believe African countries should put agricultural development as their top priority," he said.

Addressing the IMF and World Bank Africa Caucus in Mauritania, Chen said African countries should grow cereals as well as cash crops such as rubber and pine, and upgrade their processing capacity to make value added agricultural projects.

"China Development Bank is willing to share its experience and provide financing to agricultural development in Africa," he said.

Africa has become a big investor in Africa's oil sector and other heavy industries like construction in recent years as it secures access to some of the continent's huge oil, minerals and other natural resources to fuel China's fast-growing economy.

The China Development Bank has already granted loans worth several hundred million dollars to agricultural processing companies, mostly in East Africa, Chen told Reuters after delivering his speech.

China's trade with Africa has surged in recent years, reaching $73 billion in 2007, Chen said.

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