CHINA'S ENGAGEMENT IN BENIN

C O N F I D E N T I A L COTONOU 000256

SIPDIS

SIPDIS

FOR AF/W DANA BANKS

E.O. 12958: DECL: 04/30/2018
TAGS: PGOV EAGR ECPS EFIN MARR PREL SENV TRGY BN
SUBJECT: CHINA'S ENGAGEMENT IN BENIN

REF: A. SECSTATE 41697

B. COTONOU 192

C. 07 COTONOU 776

Classified By: Amb. Gayleatha B. Brown for reasons 1.4 (b) and (d)

1.(U) China's engagement with Benin is based on increasing
trade relations and financing the construction of large-scale
infrastructure projects. China's involvement in Benin dates
to the early 1970s when it helped construct large-scale
irrigated rice farms along the Niger river in northern Benin.
Chinese workers continue to maintain the dikes which protect
these farms. As detailed in Ref B, during 2007 China
provided financing for the construction of a new Ministry of
Foreign Affairs and for the construction of hospitals and
roads. China is a significant trading partner with Benin.
In 2006 (the most recent figures available),China exported
approximately 106 million dollars worth of goods to Benin and
imported approximately 66 million dollars worth of Beninese
products. China is currently building a new commercial center
in downtown Cotonou (Ref C) and renovating and expanding its
chancery.

2.(C) China has a limited military assistance program in
Benin. It provided two old patrol boats to the Beninese Navy
which are no longer operational. As noted in Ref B, the
Chinese Ambassador and other Chinese officials will not
provide details of the amount of aid provided to Benin or the
conditions under which the aid is disbursed. President Yayi
does not share that reticence and, during his speech opening
the new Ministry of Foreign Affairs building, thanked the
Chinese government for the provision of a 600 million U.S.
dollar letter of credit following his 2006 visit to Beijing.

3.(U) Relations between the Chinese and American missions are
cordial. At present there is no formal coordination of action
between the two missions. As China begins to build hospitals
and plans on constructing a dedicated malaria research and
treatment center improved cooperation on the health front
could be useful. Cooperation on reducing the red tape
surrounding business operations in Benin could also be useful
as it would be beneficial to investors and exporters from
both countries.

BROWN