Chinese President Xi Jinping on Tuesday pledged $20 billion in loans, and about $106 million in financial aid, to Middle East nations, Reuters reported.
The package will be a part of the “oil and gas plus” model to revive economic growth in the region.
The loans will fund a plan of “economic reconstruction” and “industrial revival” that include collaboration in oil and gas, nuclear and clean energy, Xi said.
The Asian country will offer $15 million to Palestine to support economic development, along with $91 million to Jordan, Lebanon, Syria and Yemen, Xi added.
A consortium of Chinese and Arab banks will also be set up, and capitalized with around $3 billion.
Development is key to resolving many security problems in the Middle East, Xi said during the meeting of representatives from 21 Arab nations in Beijing.
China has stepped up its role in the Middle East over recent years as Beijing pushes ahead with Xi’s signature Belt and Road foreign policy plan for strong trade routes between China and the rest of Asia.