‘Does India Use Development Finance to Compete with China? A Subnational Analysis’, argues that India is strategically using its Development Finance capital through the Export-Import Bank of India (Exim Bank) to compete with China, countering Chinese influence in the Global South. Published on 14 February 2024, the article uses new data on Chinese-funded initiatives and India’s government-financed project and has found that the Exim Bank is more likely to fund projects in regions where China has already invested, especially in countries where India enjoys relative popularity, and both nations share similar export patterns. The article, written by Gerda Asmus-Bluhm, Vera Z Eichenauer, Andreas Fuchs and Bradley Park, also found that China does not follow a similar mirroring strategy. Furthermore, the Ministry of External Affairs (MEA) does not seem to be funding projects based on a similar rationale of anticipation and strategic competition, and this highlights the essential role being played by the Exim Bank in contesting Chinese economic hegemony whilst helping India pursue its Soft Power projection goals.
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