Investing In Bad Governance: China and Latin America

“Investing In Bad Governance: China and Latin America “

Author | Editor: Perera, F. (William J. Perry Center for Hemispheric Defense Studies); Canna, S. (NSI, Inc.)

Executive Summary

Though there have been many reports of the strengthening of commercial and financial relations between Latin America and China, comparatively few explore the conditions within the countries of Latin America that facilitated this engagement. The study proceeds as follows. The first section summarizes Chinese involvement in the region distinguishing between foreign direct investment (FDI) and official development assistance (ODA). The second section attempts to identify institutional determinants of this investment. Specifically, it differentiates between conditions that are seen as favorable to private Chinese investment and those that facilitate official Chinese development assistance. The third section outlines possible implications of Chinese involvement in Latin America.

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