This paper studies the impact of China’s Belt and Road Initiative (BRI) on Chinese firms and China’s economic impacts on the countries of the South Caucasus and Central Asia. Overall, the BRI positively impacts Chinese Outward Foreign Direct Investment (OFDI) and other activities. However, both the direction and the magnitude of this impact depend on the host countries’ willingness to participate in the BRI. This paper includes an overview of possible developments and benefi ts between China, South Caucasus and Central Asia.