Showing posts with label Standard Gauge Railway. Show all posts
Showing posts with label Standard Gauge Railway. Show all posts

Thursday, September 11, 2025

China, Kenya, and the "Debt Express"

 The Telegraph published on 3 September 2025 an article titled "All Aboard 'The Debt Express': China's Pincer Movement on Africa" by Ben Marlow.

Kenya's largest ever infrastructure project is the Standard Gauge Railway financed by a loan from China and built by a Chinese company.  It begins in the Indian Ocean port of Mombasa, passes through the capital of Nairobi, and ends in a corn field deep in Kenya's Rift Valley.  The intention was to complete the line to Uganda's capital of Kampala.  Excessive Kenyan debt has prevented extension of the project to the Kenya/Uganda border.   

Saturday, September 6, 2025

Kenya to Swap US Dollar Debt for Chinese Yuan

 The South China Morning Post published on 5 September 2025 an article titled "Kenya's Plan to Switch Debt Payments to China from US Dollars to Yuan Is a 'Win-Win'."

Kenya plans to convert its large debt to China from US dollars to Chinese yuan.  This would reduce interest payments for Kenya and advance China's goal of increasing the global use of its currency.  It could also set a precedent for other countries to seek debt reduction with China and reduce reliance on the US dollar.