China's Belt and Road Initiative Security Needs: The Evolution of Chinese Private Security Companies

Abstract

The unprecedented amount of Chinese funds funnelled into the Belt and Road Initiative and Beijing’s vision of global connectivity will face a harsh reality that encompasses a wide spectrum of threats. Chinese corporations have just started to acknowledge that the risks associated with outbound foreign direct investments carry higher failure rates due to intertwined factors such as economic crisis, conflict, civil unrest, nationalisation, and currency devaluation, to name a few. In several cases, the Chinese state-owned enterprises’ infrastructural projects add stress to the already unstable socio-political environments because of their size and speed of implementation. Understanding and managing this stress is a challenge that cannot be ignored if benefits of these projects are to be realised. The solution to political and criminal violence requests a broader participation that encompasses the insurance and private security sectors.