Kate Bullivant

As China continues to adapt the Belt and Road, the types of projects it's investing in are changing too. In recent years, Beijing has been keen to highlight a shift away from massive infrastructure projects. All those dams, ports and highways at the center of Belt and Road 1.0. And instead is touting what it calls small and beautiful builds like solar and wind power facilities.

As China continues to adapt the Belt and Road, the types of projects it's investing in are changing too. In recent years, Beijing has been keen to highlight a shift away from massive infrastructure projects. All those dams, ports and highways at the center of Belt and Road 1.0. And instead is touting what it calls small and beautiful builds like solar and wind power facilities.

Brad Parks from Aid Data told me that while Beijing hasn't abandoned traditional larger scale projects, this rebrand is an answer to Beijing's evolving needs.

Brad Parks from Aid Data told me that while Beijing hasn't abandoned traditional larger scale projects, this rebrand is an answer to Beijing's evolving needs.

Those sorts of course corrections help the Belt and Road Program invest in the industries and supply chains that Beijing sees as the future. And, as we heard before the break, China has changed the way it cuts deals, charging higher rates and asking countries to put up more collateral.

Those sorts of course corrections help the Belt and Road Program invest in the industries and supply chains that Beijing sees as the future. And, as we heard before the break, China has changed the way it cuts deals, charging higher rates and asking countries to put up more collateral.

But as we talked about last week, China isn't, for the most part, going around the world grabbing collateral from countries that are struggling to repay their debts. So does this mean that China's portfolio is out of the woods? Could Beijing actually be about to reap a financial windfall as those loans start getting repaid? Here's what Brad had to say.

But as we talked about last week, China isn't, for the most part, going around the world grabbing collateral from countries that are struggling to repay their debts. So does this mean that China's portfolio is out of the woods? Could Beijing actually be about to reap a financial windfall as those loans start getting repaid? Here's what Brad had to say.

We reached out to China's Ministry of Foreign Affairs for comment on their debt portfolio and how many of their borrowers are insolvent. They didn't address this specifically, but they did say they provide developing countries financing at preferential interest rates and with longer maturities.

We reached out to China's Ministry of Foreign Affairs for comment on their debt portfolio and how many of their borrowers are insolvent. They didn't address this specifically, but they did say they provide developing countries financing at preferential interest rates and with longer maturities.

Up next we take a look at how all these changes to Belt and Road set up Beijing to continue gathering global influence. That's after the break. The jury is still out on whether China will take an economic hit from the Belt and Road.

Up next we take a look at how all these changes to Belt and Road set up Beijing to continue gathering global influence. That's after the break. The jury is still out on whether China will take an economic hit from the Belt and Road.

But how do the changes to its signature lending project that we've been talking about support Beijing's strategic goals, especially when it comes to boosting China's standing on the world stage?

But how do the changes to its signature lending project that we've been talking about support Beijing's strategic goals, especially when it comes to boosting China's standing on the world stage?

That's Steve Tsang. He's the director at the SOAS China Institute, a leading research center based in London. And those three initiatives he just mentioned are the Global Development Initiative, the Global Security Initiative and the Global Civilization Initiative.

That's Steve Tsang. He's the director at the SOAS China Institute, a leading research center based in London. And those three initiatives he just mentioned are the Global Development Initiative, the Global Security Initiative and the Global Civilization Initiative.

In a nutshell, the three initiatives seek to position China as a partner to developing countries, largely in Africa, Asia and Latin America, often referred to as the Global South. A partner that nations wary of US dominance can do business with and seek national security guarantees or energy, finance and food security.

In a nutshell, the three initiatives seek to position China as a partner to developing countries, largely in Africa, Asia and Latin America, often referred to as the Global South. A partner that nations wary of US dominance can do business with and seek national security guarantees or energy, finance and food security.

China spends less on Belt and Road loans today than it was a few years back, almost half what it did at the programme's peak. But there's one more change we've seen from Beijing that supports its broader ambitions. It started issuing more debt in its own currency instead of in dollars.

China spends less on Belt and Road loans today than it was a few years back, almost half what it did at the programme's peak. But there's one more change we've seen from Beijing that supports its broader ambitions. It started issuing more debt in its own currency instead of in dollars.