China spent $240 billion bailing out 22 developing countries between 2008 and 2021, as more have struggled to repay loans spent building 'Belt & Road' infrastructure, according to a study.
People wearing face masks following the coronavirus disease outbreak walk under a Chinese flag at Beijing Daxing International Airport in Beijing, China July 24, 2020. REUTERS/Thomas Suen/File PhotoJOHANNESBURG, March 28 - China spent $240 billion bailing out 22 developing countries between 2008 and 2021, with the amount soaring in recent years as more have struggled to repay loans spent building "Belt & Road" infrastructure, according to a study published Tuesday.
China has lent hundreds of billions of dollars to build infrastructure in developing countries, but lending has"Beijing is ultimately trying to rescue its own banks. That's why it has gotten into the risky business of international bailout lending," said Carmen Reinhart, a former World Bank chief economist and one of the study's authors.Chinese loans to countries in debt distress soared from less than 5% of its overseas lending portfolio in 2010 to 60% in 2022, the study found.
People's Bank of China swap lines accounted for $170 billion of the rescue financing, including in Suriname, Sri Lanka and Egypt. Bridge loans or balance of payments support by Chinese state-owned banks was $70 billion. Rollovers of both kinds of loan were $140 billion. China's rescue lending is "opaque and uncoordinated," said Brad Parks, one of the report's authors, and director of AidData, a research lab at William & Mary College in the United States.
South Africa Latest News, South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
China Boosts Lending to Struggling Belt and Road BorrowersThe scale of the efforts means Beijing has effectively established a new system for international rescue lending, according to new research published by the World Bank.
Read more »
NBA roundup: Nuggets belt Bucks in matchup of titansNikola Jokic scored 31 points and dished out 11 assists, Jamal Murray finished with 26 points and nine assists, and the host Denver Nuggets beat the Milwaukee Bucks 129-106 on Saturday night.
Read more »
Satellite images show breadth of massive seaweed belt stretching across the Atlantic OceanImages from NOAA and the University of South Florida shows the breadth of a sargassum seaweed belt that stretches from West Africa to the coast of Florida.
Read more »
INSIDE THE RING: Rodriguez returns to fight for another championship beltAfter a career making year, Jesse “Bam” Rodriguez is ready to break out for his first fight since September.
Read more »
Brandon Belt Trolls Ex-Giants Teammate Brandon Crawford With Video Shout-OutBrandon Belt is in a different uniform these days, but he hasn’t changed one bit.
Read more »
Vigil held for Harvey man who was murdered in road rage attackMarchello 'Chello' Leggans, 41, was leaving a party last Saturday when he was cut off by the driver of another vehicle, according to relatives. Family members say nearby surveillance video shows a man exiting the car and shooting Leggans five times.
Read more »