A senior U.S. official said Monday that the U.S. aims to invest in five to 10 major infrastructure projects around the world starting January next year as part of a broader Group of Seven initiative to challenge China's Belt and Road Initiative.
The initiative, dubbed "Build Back Better World," will seek to counter Chinese influence by providing funding for enterprises that adhere to stricter labor standards, place a greater emphasis on environmental concerns, and assist underserved groups like female entrepreneurs.
The "Build Back Better World" was founded by the leaders of the world's richest democracies at the G-7 summit earlier this year, and takes its name from U.S. President Joe Biden's campaign slogan.
During the latest in a series of "listening tours" last week, a U.S. group led by Biden's deputy national security adviser, Daleep Singh, found at least 10 interesting initiatives in Senegal and Ghana, the official said.
Officials are meeting with government and private-sector delegates in search of initiatives to sponsor under the G7 rich democracies' B3W initiative, which was announced in June. According to the insider, plans could be finalized during a G7 summit in December.
The official said the U.S. expects that the projects would both illustrate the sustainability of the B3W concept and allow participating countries to better evaluate how well the financing initiative is functioning.
The White House thinks that the initiative will assist democratic countries in countering China's trillion-dollar plan to fund infrastructure projects in poor countries.
Officials said the G7 B3W project aims to reduce the $40 trillion in infrastructure investment that developing countries would require by 2035 while also providing an alternative to China's problematic financing methods.
Biden has stated that he believes the U.S. and other countries can offer a better growth route by involving the private sector, insisting on more openness, and offering equity financing rather than the onerous debt financing requested by the Chinese.
Sources said the U.S. will provide developing countries "the whole range" of financial tools, including equity holdings, loans, political insurance, grants, and technical knowledge to focus on climate, health, digital technology, and gender equality.
