New Delhi, May 14 (SocialNews.XYZ) The European Union’s Global Gateway initiative is increasingly being seen as an alternative to China’s Belt and Road Initiative (BRI), positioning itself as a more transparent and sustainability-focused model of global infrastructure financing, a report has said.
The report by Kenya-based platform Capital News showed that the BRI -- launched by China over a decade ago as a flagship connectivity and infrastructure strategy across Asia, Africa, Europe and Latin America -- has expanded Beijing’s global footprint through large-scale financing of railways, highways, ports and energy projects.
However, the initiative has come under growing scrutiny in recent years over concerns related to debt sustainability, transparency in contracts and long-term financial stress on several developing economies that have undertaken Chinese-funded projects, it said.
In contrast, the EU launched the Global Gateway initiative in 2021 with an investment target of €300 billion for the period 2021–2027.
The report highlighted that the programme aims to promote infrastructure development across digital connectivity, clean energy, transport, health, education and climate-related projects.
Unlike the centrally driven financing approach often associated with the BRI, Global Gateway focuses on blending grants, concessional financing and private investment, with an emphasis on transparency, sustainability and partnership-driven development.
The EU has outlined principles such as good governance, democratic values, environmental sustainability and private sector participation as key pillars of the initiative.
In addition, major flagship projects under Global Gateway include the Lobito Corridor in Africa -- which aims to improve transport connectivity between Angola, the Democratic Republic of Congo and Zambia -- reducing cargo transit times significantly and boosting regional trade integration, the report said.
The report noted that the initiative has also expanded into Central Asia through transport and logistics corridors aimed at strengthening trade connectivity with Europe.
Source: IANS
About Gopi
Gopi Adusumilli is a Programmer. He is the editor of SocialNews.XYZ and President of AGK Fire Inc.
He enjoys designing websites, developing mobile applications and publishing news articles on current events from various authenticated news sources.
When it comes to writing he likes to write about current world politics and Indian Movies. His future plans include developing SocialNews.XYZ into a News website that has no bias or judgment towards any.
He can be reached at gopi@socialnews.xyz