Over the past decade, China has increased its economic ties with Africa, pouring billions of dollars in infrastructure and mining projects. Many people praise and support China’s involvement in Africa, but others are skeptical and talk of “resource colonialism”. And the presence of China in Africa is only set to increase.
It is for this reason that Nairobi-based social enterprise China House is seeking to help Chinese companies and professionals integrating better by reducing social and environmental conflicts arising from Chinese foreign investment. The organization was established last year by Hongxiang Huang, a journalist who came to Africa to study Chinese investment. The Columbia University graduate saw the challenges Chinese companies face fitting into their new environment, like conflicts with local businesses, language barrier etc.
China House does consultancy work for Chinese companies investing in the continent, helping them improve labor relations and carry out their activities without damaging the environment. It also provides corporate social responsibility (CSR), consulting and sustainable impact investment research services. Its research focuses on developing customized solutions in the areas of law, taxation, finance and labor.
“Our goal is to help Chinese investors find sustainable opportunities here – not just earn their money and leave”, says China House co-founder Annie Hu.
Like China House, Ovamba, a global company created in the USA with operations in Africa. For more than a year, Ovamba has been very active in the integration of global investors into the continent, giving them fact based information and estimation data on African productive sectors. Ovamba has been a major player in the creation of jobs in Cameroon. The company connects investors around the globe to credit worthy business owners in Africa. With less than 1% default rate and 9 to 14% return on investment, Ovamba has been a safe and secured platform whereby investors can find good opportunities. The increase of Chinese investors in Africa will help in boosting the African economy through the development and endowment of SMEs with running Capital.