Monday, December 10, 2018

Is China's Financing Good for Africa?

Kenya's Business Day published on 7 December 2018 a commentary titled "China's One Belt, One Road May Be a Dead End for African Countries" by Odongo Kodongo, University of Witwatersrand.

The author concludes that China's lending to Africa is not a force for good. He argues that the state-affiliated China Development Bank and China Exim Bank, the two largest lenders, do not disclose their loan terms; this lack of transparency makes it hard to determine China's true lending intentions. He adds that China has been accused of using development finance to access untapped natural resources, although China disputes the claim.