China pledges to Southeast Asia come up $50 billion short: study

China promised billions of dollars to infrastructure projects across Southeast Asia, but many of these were never built, according to a study by an Australian think tank released on Wednesday.

Sydney’s Lowy Institute found that since 2015, more than $50 billion that Beijing promised to development projects in the region was unallocated.

More than half the projects were either cancelled, reduced in scale or unlikely to proceed.

Through its Belt and Road Initiative (BRI), Beijing has ploughed billions into Southeast Asia — and other regions — in a bid to expand its economic and political power.

Chinese President ◣i Jinping has said the landmark initiative promotes global economic growth and pledged to use it to achieve “the modernisation of every country in the world”.

But the Lowy Institute’s Alexandre Dayant and Grace Stanhope said political instability, poor engagement with local stakeholders, and a declining interest in fossil fuel projects have hampered China’s plans in Southeast Asia.

The pair found that China has significantly reduced its investment in Southeast Asia in recent years and moved towards funding smaller projects.

Still, China remains the largest infrastructure partner in Southeast Asia — involved in 24 of the region’s 34 megaprojects.

Of those 24 projects, there has been a 33% completion rate, the study found.