Chinese President Xi Jinping (習近平) on Saturday told the UN that China would pledge US$2 billion as an initial investment for development assistance to the poorest countries.
Addressing a UN summit meeting on development, Xi said China would increase its funds to US$12 billion over the next 15 years to help the UN reach a goal of eliminating extreme poverty by 2030.
In making the pledge, China was “putting justice before interests,” he said.
“To solve various global challenges, including the recent refugee crisis in Europe, the fundamental solutions lie in seeking peace and realizing development,” Xi said.
The pledge came as China faces increasing criticism for not taking sufficient responsibility for reducing poverty. Western countries have argued that China, as the world’s second-largest economy, can afford to do more.
“It reflects an acceptance of China’s increasing global responsibility,” Carnegie Endowment for International Peace vice president Douglas Paal said.
In the past, China has met about 40 percent of its pledged contributions, and the current stress on foreign exchange and growth could mean its fulfillment rate was even less, Paal said.
Xi said that China would grant relief of debts owed by the least-developed countries. He did not give a figure for the debt.
China has been criticized for using its development aid, particularly in Africa, for its own strategic objectives and economic needs, such as expanding access to oil and gas.
Critics have said that while China spends considerable money on infrastructure in poor African countries, it does not release data on its annual foreign aid.
At a briefing for reporters on Saturday night, Chinese Ministry of Foreign Affairs Department of International Economic Affairs Director-General Zhang Jun (張軍) said the pledge was “more political than practical.”
“China is willing to do as much as possible to help developing countries, but you can’t expect that with limited funds there can be an answer to all questions,” Zhang said.
In his speech, Xi said China had lifted 439 million of its own people out of poverty and had made “remarkable” progress in education and women’s welfare. It was not clear if he was suggesting that China’s experience would be used in the UN project over the next 15 years.
In an effort to show that China had been generous in the past, Xi said that 600,000 Chinese aid workers had been deployed to 166 countries.
The US$2 billion pledged by Xi gave a considerable boost to the UN’s new Global Goals for Sustainable Development announced on Friday, but there were few details about how the funds from China or other member countries would be spent.
Xi said China would also start 600 foreign assistance projects to reduce poverty by 2030. Chinese officials said those would be funded separately.
In keeping with this new tack of taking a greater interest in poverty reduction outside its own borders, China announced during the summit meeting with US President Barack Obama on Friday that it would cooperate with the US Agency for International Development on the UN poverty reduction project.
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