China's Foreign Aid at a Transitional Stage

By estimating C hina's foreign aid as a proxy for C hina's bilateral Official Development Assistance and by analyzing its implementation structure and policy, this paper sheds some light on C hina's foreign aid activities, which have been at a transitional stage. Based on our estimates, the level of foreign aid in terms of net disbursement has increased sharply since 2004, reaching around US7. 1 billion in 2013. Some measures to strengthen the implementation structure to deal with this expansion have been introduced by the central government; however, this transition process needs more time. To facilitate this process, C hina is attempting to absorb knowhow on development assistance from multilateral institutions and Organisation for Economic Cooperation and Development's Development Assistance Committee countries that are eager to share their knowledge, with the expectation that C hina will eventually play a major role in international development.