Abstract

In Post-Soviet Central Asia, China is emerging as one of the most influential players as a result of an overall increase in its global role. The Central Asian region forms a crucial part of the Belt and Road Initiative thanks to its strategic location and natural wealth. Relations between China and Central Asian countries have been developing very dynamically over the past two decades and China has had a substantial impact on the five economies. Although the Chinese approach is quite cautious regarding politics and security, there is much greater interest in the economic side, most significantly in energy and infrastructure. The purpose of this study is to explore the key issues behind China’s economic presence in the region and to determine subsequent challenges for Central Asian countries. The methodology consists of an analysis of Chinese investment characteristics in order to understand the economic consequences of the superpower’s involvement in Central Asia.