China Offers African Nations $60 Billion in Development with ‘No Strings Attached’
BRICS, 10 Sep 2018
China will write off any amount owed by indebted countries or developing nations, President Xi Jinping said.
3 Sep 2018 – China is offering US$60 billion in financial support and a debt write-off to impoverished African nations- no strings attached, Chinese President Xi Jinping said today.
“China will extend $60 billion of financing to Africa in the form of government assistance as well as investment and financing by financial institutions and companies,” Xi said during a business forum ahead of a triennial China Africa summit in Beijing.
The Chinese official laid out the extensive financial strategy to African leaders, with plans to invest US$5 billion in African exports, US$ 10 billion for “development financing” and US$15 billion in grants, interest-free loans, and concessional loans; a credit line of US$20 billion.
Xi said their friendship was time-honored and that China’s investment in Africa came with no political strings attached.
“China does not interfere in Africa’s internal affairs and does not impose its own will on Africa. What we value is the sharing of development experience and the support we can offer to Africa’s national rejuvenation and prosperity,” Xi said.
Though the loans are due by the end of the year, the amount owed by indebted countries and developing nations across the continent will be written off, Xi said.
“China-Africa cooperation must give Chinese and African people tangible benefits and successes that can be seen, that can be felt,” he said, denying critics’ accusations of entertaining “vanity projects” or “debt trap” diplomacy in Africa.
President Xi said the initiative was not, “a scheme to form an exclusive club or bloc against others. Rather it is about greater openness, sharing and mutual benefit.”
African presidents in attendance included South Africa’s Cyril Ramaphosa, Egypt’s Abdel Fattah al-Sisi, Zambia’s Edgar Lungu, and Gabon’s Ali Bongo. Though the majority responded positively to the industrial investment proposal, Ramaphosa proposed a more balanced agreement be arranged.
Rather than exporting a mass of raw materials, as Africa has traditionally done with its Asian partners, importing natural resources from China could open an abundance of employment for African countries. The Forum on China-Africa Cooperation (FOCAC) should “build links between dignity, work opportunity and economic,” Ramaphosa said.
DISCLAIMER: The statements, views and opinions expressed in pieces republished here are solely those of the authors and do not necessarily represent those of TMS. In accordance with title 17 U.S.C. section 107, this material is distributed without profit to those who have expressed a prior interest in receiving the included information for research and educational purposes. TMS has no affiliation whatsoever with the originator of this article nor is TMS endorsed or sponsored by the originator. “GO TO ORIGINAL” links are provided as a convenience to our readers and allow for verification of authenticity. However, as originating pages are often updated by their originating host sites, the versions posted may not match the versions our readers view when clicking the “GO TO ORIGINAL” links. This site contains copyrighted material the use of which has not always been specifically authorized by the copyright owner. We are making such material available in our efforts to advance understanding of environmental, political, human rights, economic, democracy, scientific, and social justice issues, etc. We believe this constitutes a ‘fair use’ of any such copyrighted material as provided for in section 107 of the US Copyright Law. In accordance with Title 17 U.S.C. Section 107, the material on this site is distributed without profit to those who have expressed a prior interest in receiving the included information for research and educational purposes. For more information go to: http://www.law.cornell.edu/uscode/17/107.shtml. If you wish to use copyrighted material from this site for purposes of your own that go beyond ‘fair use’, you must obtain permission from the copyright owner.
Click here to go to the current weekly digest or pick another article: