China's Aid Policy and Its Impact on Air Pollution in Africa

Chinäs growing relationship with the developing world has sparked much debate amongst the international community. Yet, little is known of Chinäs foreign aid policy but it seems to be concentrated on strategic and political objectives. This study aims to unravel the motives behind such aid, and investigate the potential impact it has on Sub-Saharan Africäs fragile environment. Data on Chinese aid commitments are obtained from AidData on 48 countries between the years 2000-2010, and that of CO2 emissions, from the World Bank database. Using an OLS Panel FE estimation, commercial self-interests are found to dominate Chinäs aid allocation. Results indicate recipient countries are resource-rich, open towards Chinese exports, and politically unstable. No evidence is found to suggest China is seeking to oust American and European influence on the continent, instead, evidence suggests Australia, Canada, Japan, Korea and New Zealand are raising the carbon footprint and PM levels in Sub-Saharan Africa, while China has no empirical effect.