Economic Nexus among the Belt and Road Initiative participating countries

Abstract

The Belt and Road Initiative (BRI) cooperation has created closer economic and trade relations over the past decade. This study analyzes the economic interconnectivity between BRI-participating countries and highlights key findings. The economic links between partner countries have experienced rapid and slow growth, with high connectivity levels. Macroeconomic downturns increase economic connections between countries, with a negative contagion index being higher than a positive. Land-based Silk Road countries have higher connectivity than Maritime Silk Road countries, and China and non-adjacent countries have higher connectivity than China and adjacent countries. Additionally, GDP fluctuations spillover network demonstrate the net transmitters and net receivers in the network, and the transmission channels and directions between each other. Policy-makers should consider these findings for high-quality BRI cooperation.