EU unveils Asia infrastructure plan, denies rivalry with China
The European Commission has proposed a foreign policy plan to improve transport, energy and digital infrastructure links with Asia but denied seeking to counter China' s ambitions that have raised suspicion in Western capitals.
The plan, which would be backed by additional funds from the EU's common budget from 2021, private sector loans and development banks, amounts to a strategic response to China's largesse in much of central Asia and south-eastern Europe, where Beijing has invested billions of dollars.
The 13-page strategy outlined by the EU executive did not specify how much the bloc would spend, but the Commission is relying on a proposed €60 billion ($70 billion) fund that would act as an insurance for investors if projects fail. That fund could raise more than €300 billion between 2021 and 2027 by attracting investors into projects by offering a guarantee to cover the costs if a project fails.
