Analysis shows that China is burdening poor African countries with debt while taking collateral in the form of natural resources. Through ''debt trap diplomacy,'' China has become the single largest shareholder of African resources and infrastructure.
Is there any difference to how the IMF and World Bank provide loans and trap countries into debt and force them into economic reforms that are bad for the country? Seems like China is just learning from the best.
As someone from one of the countries trapped, yes there is.
Taking an IMF loan meant austerity and more concessions to international corporations. Shitty, but it’s on the label.
What the Chinese loan means we will not know for at least a few decades because all of it is classified. All we know that there is massive corruption going around.