• China Hyway Group Limited
News
2017-11-02

The Odyssey of Dragon-How Can Angola’s Economy Recover?

    In recent years, in order to help Chinese enterprises implement the “go global” strategy to expand international market and look for opportunities and directions, Primer Li Keqiang pointed out in Davos Forum that China will promote the liberalization and convenience of trade and investment, vigorously advance the “Belt and Road” initiation and encourage Chinese enterprises especially excellent small and medium-sized enterprises to go global.

   However, though China encourages small and medium-sized enterprises to go global in recent years, the private enterprises engaged in infrastructure have to compete with large state-owned enterprises and meet with resistance. 1.jpg

    Faced with new complex and rigorous situations, how can the small and medium-sized enterprises break through the difficulties and obtain more market shares during the competition with state-owned enterprises? 

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   Angola, formerly known as Provincía Ultramarina de Angola, was an economic valuable and richest colony of Portugal. Angola locates at the south, middle and west hub locations of Africa and can be connected with East Africa and Indian Ocean upon completion of Lobito Corridor Line.
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Angola's civil war lasted for 27 years and ended in 2002; then the country started long and large scale post-war reconstruction. 

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   The Mocamedes Railway, with 876km, located at the south of Angola like an iron dragon and crossed Namibe, Huíla and Cuando Cubango; the overhaul of Mocamedes Railway contracted by Hyway Group, a Chinese private enterprise, was completed successfully a few days ago, making this railway become the traffic and transportation artery in the south of Angola. 5.jpg

   However, upon completion and putting into operation in 2012, many of the 35 stations were empty and desolate because there was no sufficient fund to purchase trains and there were problems in talents generation deficiency caused by the civil war of several decades.

   With the oil price slump, Angola’s economy floundered; the frequent security problems and corruption make foreign investors lose confidence in Angola and abandon this supposed valuable place. 

    What will bring the fragmented and unstable Angola to a new era? The oil resources that may be run out finally? Infrastructure projects funded by tens of millions of loans from China or talent cultivation? How can Chinese investors in Angola maintain the market share in such situations? 

    The Odyssey of Dragon, Phoenix Chinese Channel will broadcast an interview program on October 29, please wait!