The Impact of the Belt and Road Infrastructure Development on the Economic Growth of the Partner Countries

Zhihua Chen

Global Journal of Emerging Market Economies, 2023, vol. 15, issue 2, 254-272

Abstract: As of July 2022, China has signed more than 200 cooperation agreements on the Belt and Road Initiative (BRI) with 149 countries and 32 international organizations. This research aims to explore the impact of the infrastructure development of this initiative on the economic growth of countries participating in the BRI. Based on the panel data of 130 participating countries and 46 other countries from 2006 to 2019, the difference-in-difference (DID) model and multiple robustness tests were used for empirical evaluation. We found a positive correlation between BRI and the economic growth of BRI-cooperating countries. The heterogeneity test results show that BRI has a more prominent role in promoting the economic growth of upper-middle-income and high-income countries with relatively good industrial foundations. The impact of improved infrastructure development through BRI accounted for 88.42% of the total mediating effect, which is much more significant than promoting industrial upgrading and enhancing innovation capacity. These results support the view that BRI should continue to advance infrastructure development to boost the economic growth of developing countries.

Keywords: Belt and Road Initiative; BRI-cooperating countries; infrastructure development; economic growth; difference-in-difference model (DID); mediating effect (search for similar items in EconPapers)
Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://journals.sagepub.com/doi/10.1177/09749101231167454 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:sae:emeeco:v:15:y:2023:i:2:p:254-272

DOI: 10.1177/09749101231167454

Access Statistics for this article

More articles in Global Journal of Emerging Market Economies from Emerging Markets Forum
Bibliographic data for series maintained by SAGE Publications ().