China expert identified competitive advantages of Armenia for the Silky Road Project

ArmInfo. Armenia by virtue of its unique geographical position is very important for China, including in the frameworks of implementation of the Silk Road Project Concept. Xu Mingqi, the president of the Shanghai Institute of European Studies made this statement talking to ArmInfo's correspondent.

According to Xu Mingqi, Armenia can become a link between Asia and Europe due to its strategic geographical position. "With regard to strengthening economic relations between Western Asia, Turkey and Near East it can play a bridging role," declared the expert. At the same time China has worked to promote relations with the countries situated on that road in the frames of the Silk Road Project Concept. Xu Mingqi believes that despite the fact that Armenia is not as large as Azerbaijan and Iran, it still can be in a better position. "In comparison with the neighboring countries Armenia has some privileges: political stability and apparent capacity for economic development," stated the expert.

In fall 2013, Chinese President Xi Jinping presented the Concept of the One Belt, One Road Project, including establishment of the Silk Road Economic Belt and the 21st Century Maritime Silk Road. Implementation of the first phase is planned for 2016-2020, but already in 2015 the financial basis was established in the form of the Silk Road Fund and the Asian Infrastructure Investment Bank.  The goal of the One Belt, One Road Project is to develop transit-transport system connecting China with the countries of the Eurasian continent and Africa.  The Concept presupposes not only construction and development of transport- logistical infrastructure, huge zone of free trade but also a unique financial system uniting regional development banks thus creating conditions for the targeted capital movement and ensuring payments in term of national currencies, first of all in yuans. For the implementation of the New Silk Road Project Beijing has established a $40-billion Fund of Silk  Road as well as $100 billion Asian Infrastructure Investment Bank (AIIB), which launched operation on 29 June, 2015.