China is building its "Belt and Road" with the money of Serbian citizens

 

In the last decade, Serbia has become a significant point on the global map of China's infrastructure expansion, known as the "Belt and Road" Initiative, China's modern answer to the historical "Silk Road". At first glance, the numerous highways, bridges and railways that are being rapidly built across Serbia seem like a sign of modernization and development. However, behind the large construction projects lies a complex relationship in which Chinese strategic interests are being realized - with the financial support of Serbia itself.

 

The model of cooperation is in most cases the same: Chinese state banks approve favorable, but still credit arrangements to the Serbian government. As a result, the state goes into debt, and the financing of projects falls on the budget, that is, the citizens of Serbia. These loans almost without exception contain clauses according to which the execution of works is entrusted exclusively to Chinese companies. Without public tenders, without competition and often without serious supervision.

 

In practice, this means the following: money from Serbia goes to Chinese contractors, while debts remain with the state, and the works are often carried out with limited participation of domestic labor and companies.

 

Beijing's strategy: infrastructure as a lever of power

 

For China, these projects are not just construction jobs. They are part of wider geopolitics, because an infrastructure network is being built that connects China with European markets. Serbia, as a country in the heart of the Balkans, is an ideal point for the passage of goods, services and political influence.

 

The cooperation model is in most cases the same and boils down to Chinese state banks approving favorable, but still credit arrangements to the Serbian government. They are used to finance large infrastructure projects, which are usually carried out by Chinese companies, so Serbia is practically just in debt, which is growing.

 

Highways connecting Belgrade with Montenegro, North Macedonia, Hungary or Bosnia and Herzegovina are not built only for the needs of local traffic, but also as part of a transit corridor that benefits Chinese trade. Through this infrastructure, China is expanding its economic and political influence, while simultaneously using the resources of partner countries, leaving them with only growing debts. In other words, China is building its “Belt and Road” with the money of other countries. In the case of Serbia, in the end it comes down to budget funds, which are collected through taxes from domestic citizens and businesses.

 

The problem with these arrangements is not only a matter of geopolitical interest, but also a lack of transparency. The public often does not know the exact terms of the contract. There is no tender, no independent control of costs, and often no accountability for the quality of the work performed. In some cases, projects are overpaid, or have a weak local economic impact because domestic companies and workers are left out.

 

Serbia thus risks leaving the construction of strategic infrastructure to foreign control, without broader national interest or benefit to its own economy.

 

The public is often unaware of the conditions under which China grants loans to Serbia. There is no tender for projects financed by them, no independent cost control, and often no accountability for the quality of the work performed. In some cases, projects are overpaid, and the domestic economy benefits almost nothing, because domestic companies and workers are not engaged in these jobs.

 

All in all, Chinese projects in Serbia represent more than just building roads and bridges. They are part of a broader global strategy in which China is expanding its economic influence through infrastructure. In the process, it is using loans that are repaid by countries like Serbia. More precisely, by their citizens. Therefore, it is quite legitimate and accurate to say that China is building its new “Silk Road” with the money of its citizens – Serbia.

 

 

Who really benefits

It is undeniable that the local population, that is, the citizens of Serbia, also benefit from these infrastructure projects. The construction of modern highways, bridges and railways brings faster and safer travel, easier access to other markets and greater mobility, the development of tourism and the local economy, the possibility of decentralization and more even development of the region.

 

For many areas that have been isolated from traffic for decades, these roads represent a civilizational advance. However, in a broader geopolitical and economic framework, the benefits that China is reaping are significantly greater and longer-term. With these projects, China is accelerating the transit of its goods to European markets, ensuring stable transport of raw materials such as copper, gold and iron from Serbia, and strengthening its political and infrastructural presence in the region.

 

In this sense, the highways do not only serve the development of Serbia, but also become part of China's strategy of exporting resources and expanding its economic influence. And all this with the financial support of Serbian taxpayers. Therefore, it is important to ask the question: if the roads were built with Chinese loans, which are repaid by Serbian citizens, and they mainly serve Chinese export interests, whose roads are they really?

 

The conclusion is unequivocal - China is building its new "Silk Road" across the territory and with Serbian money, part of this infrastructure also benefits the domestic population, but China benefits much more.

 

CONCLUSION

The text provides an analysis of numerous projects that Chinese creditors are implementing in Serbia and once again points out the lack of transparency of projects that are being implemented with Chinese money in Serbia. As a special problem, it is emphasized that unlike other infrastructure projects that are built, for example, with loans from international financial institutions such as the EBRD and similar, projects that are built with loans from Chinese creditors are implemented exclusively by Chinese companies.

A special problem is the fact that, although these are loans that will be repaid from the budget, i.e. with citizens' funds, the details of the contracts concluded between the Serbian government and Chinese creditors most often remain unknown to the public.

Although the citizens of Serbia will achieve certain benefits through the built infrastructure projects, China is the winner in these processes, which through these projects not only achieves economic, but also geopolitical influence both in Serbia and in other countries of the Western Balkans.

Calls from the media and the non-governmental sector, and even rulings by judicial authorities ordering the authorities of the Western Balkan countries to present the details of contracts with Chinese creditors (and investors) to the public, are most often ignored by the authorities, so the content of the contracts is mostly speculated about in the public.