Exploring Chinese Investment and Infrastructure in Egypt: Key Discussions on Infrastructure, Finance, and Public Opinion

On June 25, 2024, the Orfalea Center for Global and International Studies, directed by Professor Paul Amar, hosted the inaugural live international webinar in a series entitled “Chinese Infrastructure and Finance Projects in Egypt.” This thought-provoking session highlighted several Chinese investment megaprojects: from new high-tech cities, mining and extraction to construction and infrastructure projects. The series highlights the many debates and discourses that surround the changing Egyptian-Chinese economic and sociocultural relations. 

The webinar, “Exploring Chinese Investment and Infrastructure in Egypt: Key Discussions on Infrastructure, Finance, and Public Opinion,” builds upon the progression of an edited volume on Chinese infrastructure and finance projects in Africa, generously funded through a multi-year grant by the Ford Foundation, featuring several emerging scholars from around the globe researching on the ground case studies in Cairo. The panel was moderated by Tina Guirguis, a PhD candidate at UCSB in Global Studies, and featured Dr. Omnia Khalil (City College of New York), Dr. Marko Jovanovic (Institute of Social Sciences in Belgrade), Chada Bachri (Bordeaux-Montaigne University), and Jeanne Gorin (Universite Paris 8 & CEDEJ).

Speakers (Left to Right):  Chada Bachri, Jeanne Gorin, Omnia Khalil, Marko Jovanovic

The session began with opening remarks by the Director of the Orfalea Center, Paul Amar, who discussed the new addition of Egypt to the New Development Bank in Shanghai and to the BRICS alliance, marking accelerations in social and economic development relations – particularly between Egypt and China. These events demonstrate the timeliness of this webinar, and importance of pursuing new lines of research inquiries on the ground in Egypt as this important geopolitical relationship develops.

After a brief introduction of our esteemed panelists by Tina Guirguis, Chada Bachri presented her work “Chinese Language and Education in Egypt: Economic Impacts of Language and Cultural Programs.” Bachri looks at case studies of Chinese language departments at Ain Shams University, Alexandria University, and in Egyptian public elementary and high schools. She uses student interviews and focus groups to examine the processes by which Chinese language programs are integrated into education systems, as well as how their expansion is a direct impact of China’s investments in Egypt, which has created a need for more Chinese speakers. Bachri also explores how Chinese language and cultural programs affect Egyptian economic and social life. She argues that many students opt into taking Chinese courses in order to gain favor in Egypt’s competitive job market, and to access hiring networks that connect Egyptian university graduates who are proficient in Chinese, to Chinese companies operating in Egypt.

Our second speaker was Jeanne Gorin, who presented her work: “Chinese managers and Laborers at the New Administrative Capital.” Her project uses the Chinese funding and construction of Egypt’s New Administrative Capital – a completely new city that hosts Egyptian government agencies, administrative sector offices, and foreign embassies – as a case study to analyze trends in Chinese-Egyptian labor relations. Gorin conducted many site visits to the New Administrative Capital to meet with both Egyptian and Chinese engineers; these meetings helped her gain insight into the terms under which projects are carried out by Chinese companies, the conditions of Chinese laborers who live on-site in “Blue Town” - the name given to the area in which Chinese laborers reside, and how the Chinese presence informs a particular vision of development and cooperation through the use of language. Gorin gained incredible access to “Blue Town,” and shed light on the living conditions of Chinese workers who are “deployed” to Egypt.

Our third speaker, Dr. Omnia Khalil, presented her research, “State-Capitalism and China-Egypt Urban Development,” which examines the bilateral relationship between China and Egypt that began in 2017, and questions if these urban development projects have contributed to or contested Egyptian state-led capitalism. Her research explores the material and discursive impact of Chinese involvement in the New Administration Capital and the wider Egyptian material and economic environment. Khalil argues that “Chinese financing of Egypt’s urban development has been channeled through Egyptian state institutions that are closely linked to the military. This financing is largely debt- based and is used to reinforce the strength of the military, while simultaneously deepening Egypt’s financial obligation to China.” Khalil argues that, while Egypt appears to have a state-led market economy, their reliance on foreign direct investment and international markets mark a shift toward a neoliberal economy led by market capitalism. Egypt and China utilize historical ties of the silk road and the Non-Aligned Movement, to demonstrate how lending from China takes on a more cooperative model than borrowing from the United States or other international financial institutions.

Lastly, Dr. Marko Jovanovic shared his research project, “Exploring Egyptian Public Opinion Attitudes towards China” using data from the Arab Barometer Wave V 2018, a survey conducted in the Middle East to assess public opinion on a variety of political, social, and economic issues. His research aims to provide better understanding of Egyptian sentiment and perception of China’s economic investment projects in Egypt, cooperation between China and Egypt, as well as the perception of the impact of China’s presence on Egyptian interests. Jovanovic focuses on two main questions from the Arab Barometer and the Washington Institute Surveys: from the Arab Barometer, “Do you prefer that future economic relations between Egypt and China…? Become Stronger (41%), Remain the Same (45%), or Become Weaker (14%).” and from the Washington Institute Survey, “How important is it to have good relations with China.” These prompts demonstrate how the perception of the relationship between China and Egypt is increasingly important to Egyptians, particularly when the Egyptian public believes they can no longer count on the United States. Jovanovic conducted a statistical regression analysis to gain insight into factors that might shed light on China’s increased popularity in Egypt, which generally centered around the Egyptian public’s discontent with US foreign policy, US recognition and regional cooperation with Israel, and fears of neocolonialism.

➔ To watch the full webinar, click on the following video: