The Italian populist government is set to sign a memorandum of understanding with China on its Belt and Road Initiative (BRI) as the country’s president Xi Jinping’s visits Rome later this month. The BRI, also known as Silk Road Economic Belt, is a development plan adopted by the Chinese government to tighten cooperation with foreign countries. The decision has upset both the US, currently entwined in difficult negotiations with Beijing to end their bitter trade war, and the EU, which is concerned about the amount of access state-backed companies in China are gaining into European technologies and infrastructure.
But Italy, which has been increasingly stepping out of the line dictated by the EU more than once since its eurosceptic coalition sworn in on June 1 last year, hopes an endorsement to the BRI will make Rome a “more attractive and easier” market for investors in Beijing, according to analysts.
Agatha Kratz, at consultancy company Rhodium Group, said: “Italian leaders hope that the memorandum will increase the visibility of Italy as an investment destination, making it more attractive and easier for Chinese investors to invest under the BRI banner.”
Italy’s new relationship with China within the BRI’s frame is considered unusual by experts.
Italy is to become the first G7 country to endorse China's globalisation strategy (Image: GETTY)
Until now, the BRI has seen Beijing collaborating with less developed
