The Political Economy of the Chinese Model in Ethiopia

Abstract

Ethiopia's economic relationship with China continues to scale new heights with both state and private Chinese capital penetrating various sectors of the East African country's economy. Besides the economic benefits that Chinese capital brings, successive Ethiopian leaders since Meles Zenawi often express awe and admiration of the "China Model." Because China represents a living example of economic transformation from a developing to a strong global economic power, Third World countries vaguely refer to some political and economic modeling of their countries with the hope of imitating the Chinese miracle in their own backyards. I characterize this as "Chinesefication" and discuss what this move toward a "China Model" looks like in the Ethiopian context. It is imperative to understand whether a Chinese model is actually being localized in Ethiopia outside the rhetoric. Ethiopia, I argue, has adopted a variety of neoliberalism linked to the political preservation of the ruling class. I identify the specific interests inside Ethiopia that shape the country's approach to China, how this space is negotiated, and why, despite the ambiguity of the "China model," including the skepticism surrounding fears of China's involvement in Africa, relations with Ethiopia continue to grow.

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