New Political Economy Strategy of China -- Belt and Road Initiative

Abstract

This article aims to explain China's recent new political and economic strategy. As it involves more than 140 nations, China's 2013 "Belt and Road Initiative" (BRI) has garnered attention and debate. This paper examines BRI's economic effects and motives using developing evidence and a literature review. We concluded that China proposed the BRI in 2013 for several reasons, including capital accumulation, infrastructure export, market access, imbalanced growth resolution, energy supply assurance, and border stability. China's activities may also be explained by modern ideas like the economics of scale, technical gap, overlapped demand, and product life cycle. The BRI was simpler to propose in 2013 since the global economy was weak and needed a boost for global trade. Several models are used to predict BRI's economic effects. Due of BRI's lack of grounding. In the real world, foreign voices are both supportive and apprehensive, indicating that the BRI will confront many challenges. Debt and COVID-19 are two major challenges. Yet, possibilities and obstacles frequently go together. In the near future, international collaboration on advanced technologies, green economies, education, and other areas is expected to increase.