Conversations: Anthea Mulakala on China’s Infrastructure Diplomacy in Asia, its Relevance to India and South Asia, and Implications for Recipient Countries like Nepal

Ep. Co#003 Countries in the Asia Pacific region are increasing investments in their physical infrastructures to stimulate growth and economic recovery, especially in the aftermath of COVID-19 pandemic. Three of the world’s largest economies – the US, China and Japan – are actively maneuvering for economic and geopolitical influence in the emerging Asian markets. But how should governments and markets that sit within targeted countries handle this newfound attention? How can they turn competing interests of big powers into advantage for their people? In this episode of Conversations, the two speakers explore the rise of China as a superpower and its impact on the evolution of aid as a foreign policy tool. This episode features PEI’s own Anurag Acharya and our guest Anthea Mulakala, the Senior Director of International Development Cooperation at The Asia Foundation. Over the last decade, she has worked in Asian development cooperation, particularly understanding how rising powers, such as China and India, are transforming the 21st century aid and development landscape. This episode examines China’s Belt and Road Initiative, its increasing use of infrastructure diplomacy in the Asia Pacific, and how the West is trying to counter its set of infrastructure-oriented development financing. The speakers also discuss the implications of the Great Power Rivalry in South Asia, how India is maneuvering to maintain its influence over the region, and the opportunities and challenges this holds for aid-recipient countries like Nepal.