What is Global Gateway Plan?
- The plan, called Global Gateway, aims to bolster health, education, and research systems across the world. The decision has been taken by the European Commission's new European strategy to boost smart, clean, and secure links in digital, energy and transport.
- The project is being seen as a response to China’s Belt and Road Initiative strategy (launched in 2013).
- It will be implemented through a Team Europe approach. The EU institutions, member States, and European financial institutions will work together with European businesses, governments, civil society, and the private sector in partner countries.
- To finance the project, the EU will use its European Fund for Sustainable Development Plus. Under this, 40 billion euros are made available in guaranteed capacity, and will offer grants of up to 18 billion euros from external assistance programs.
- It includes the development of land and sea infrastructure to better connect China to Asia, Europe and Africa.
- Offshoot of B3W Project: The EU strategy is an offshoot of the Build Back Better World (B3W) Initiative. (B3W is an international infrastructure investment initiative announced by the Group of Seven (G-7) richest democracies in June 2021.)
How did the Idea of such Project Develop?
- According to the G20 estimates, the global infrastructure investment deficit will reach €13 Trillion by 2040 and bridging the world’s infrastructure gap will require an estimated investment of € 1.3 Trillion per year.
- In this context Global Gateway and the EU in a Team Europe approach offered its partners respond to the urgent needs.
The Belt and Road Initiative (BRI)-
- Formerly known as One Belt One Road (OBOR),it is the global development strategy initiated by the Government of China involving infrastructural development and direct investments in many countries across the continents of Asia, Europe, Africa, and the Americas.
- It was announced in 2013 by China’s President Xi Jinping.
- BRI aims to develop land and sea infrastructure to better connect China to Asia, Europe and Africa for trade and development.
- The project has a target completion date of 2049, which will coincide with the centennial anniversary of the People’s Republic of China (PRC)’s founding.
- The BRI projects comprise $4 trillion of promised investments in 65 countries representing 70 percent of the world’s population, 55 percent of its GNP, and 75 percent of its energy reserves.
Source: Ec.europa.eu, CNN