China says it is helping africa develop - not pile up ECA debt

(Reuters, Beijing, 4 September 2018) A wave of African nations seeking to restructure their debt with China has served as a reality check for Beijing’s ties with the continent, though most of its countries still see Chinese lending as the best bet to develop their economies. China is helping Africa develop, not pile up debt, a top Chinese official said on Tuesday, as the government pushes back against criticism it is loading the continent with an unsustainable burden during a major summit in Beijing. Bloomberg noted that in recent months, Beijing has faced criticism about its debt practices from countries ranging from Australia to India, with even some Chinese academics airing doubts at home. Malaysian Prime Minister Mahathir Mohamad warned against “a new version of colonialism” during a visit to Beijing last month after suspending a $20 billion Chinese-built rail project. Claims that China was an “economic predator” in Africa, pillaging natural resources and dragging it into a debt crisis, were “as false as they are sensational,” the Xinhua official news agency said in a commentary. Chinese President Xi Jinping pledged debt relief to some poorer African nations, attempting to push back against a major criticism of his signature Belt and Road Initiative. A recent Time Magazine opinion piece noted "As African countries sink deeper and deeper into Beijing’s carefully laid debt trap, the United States could pay a steep cost in reduced cooperation on counterterrorism and job creation.

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