The Financial Statecraft of Borrowers : African Governments and External Finance

An analysis of how developing countries use external finance in aid negotiations. Alexandra O. Zeitz combines statistical analysis and extensive interviews from Ethiopia, Ghana, and Kenya, to provide insights on financial interdependence in the developing world. Ideal for students and researchers in IPE, development studies, and African politics.

As China rises to prominence as a global lender, what impact does this have on borrowing countries? In a context of deepening global financial integration and rising powers, this book examines how developing countries, specifically in sub-Saharan Africa, can use borrowing relationship to their advantage. Alexandra O. Zeitz reveals how these countries, once reliant on traditional donors, may now leverage Chinese loans and international sovereign bonds to enhance their bargaining power in aid negotiations – a strategy she terms the “financial statecraft of borrowers.” Grounded in extensive interviews with senior officials from recipient countries and donor agencies in Ethiopia, Ghana, and Kenya, and complemented by statistical analysis of aid agreements, The Financial Statecraft of Borrowers offers a comprehensive understanding of how aid relationships are changing along with the shifting landscape of international finance.