Published January 7, 2026 | Version v1
Journal article Open

The Political Economy of China's Aid in Malawi: Crossroads-Kanengo Road Project, 2021-2025

Authors/Creators

  • 1. Universitas Indonesia

Description

Malawi’s pursuit of infrastructure-led development under persistent financial and technological constraints raises key concerns over economic sovereignty. This study examines the Crossroads Roundabout to Kanengo Junction Upgrading Project (2021-2025) to analyse how Chinese infrastructure aid influences Malawi’s autonomy in economic governance. Guided by Theotonio Dos Santos’ Dependency Theory and supported by Jeffrey Sachs’ developmentalist framework, the research identifies five dependency mechanisms: monopoly of technology, foreign financing, profit repatriation, foreign control of capital, and externally oriented development. Using qualitative content and thematic analysis of policy documents, loan agreements, and government reports, the study finds that Chinese-funded projects, while bridging investment gaps, perpetuate structural dependence. Dominance of foreign contractors, minimal technology transfer, and limited local participation reinforce historical dependency patterns. The findings highlight how financial decision-making is externally conditioned, challenging the notion of equitable South-South cooperation and emphasizing the need for stronger local content and accountable aid governance.

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