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A new report provides an unprecedented view into Chinese loan contracts with dozens of governments throughout the Global South. Researchers from AidData, the Kiel Institute, and the Center for Global Development analyzed 100 contracts between Chinese state-owned entities and government borrowers in 24 countries and then compared the terms of those contracts with those of other bilateral, multilateral and commercial creditors. China’s lending practices are notoriously opaque and until now very few people other than key principals involved in the actual loans have had the opportunity to review these contracts in detail so as to better understand the specific legal terms and how they’re structured. What the research team discovered is that China is “a muscular and commercially-savvy lender” who employs contract terms that are in many ways quite similar to those of other international creditors. However, they did note a number of key differences that highlight how China structures its d...
The huge divide between how African governments see their engagement with China and how it’s framed by the United States was on full display at a press conference late last week in Abuja with visiting Secretary of State Antony Blinken and his host Nigerian Foreign Minister Geoffrey Onyeama . While Blinken appeared to intentionally avoid using some of the more controversial rhetoric about “debt traps” and imported labor that has long informed official U.S. thinking on this issue, he wove in subtle, indirect references to several of the longstanding criticisms of Chinese investments in Africa. But Onyeama, like many of his peers in other foreign ministries, was not afraid to push back on that narrative: This marketing content will be shown in place of your protected content to anyone who is not allowed to read the post… Get a daily email packed with the latest China-Africa news and analysis. Read exclusive insights on the key trends shaping China-Africa relations. Full a...
An article in today’s Global Times newspaper , one of China’s more bombastic nationalist tabloids, provides a glimpse into how determined Chinese officials are to “decouple” their trade with Australia, especially in the hugely valuable iron sector. Sino-Australian relations deteriorated sharply in 2020 over disputes related to the origin of COVID-19, the South China Sea, and Huawei. Now, Beijing appears determined to use Australia’s dependence on the Chinese market as a weapon to retaliate against Canberra for what it sees are malign attacks. To that end, a Chinese team in Zambia installed the NEUH-60, a piece of equipment that will reportedly enhance Zambian iron ore to a similar level of quality as Australian ore. It’s clear from the quotes used in the Global Times story that the researchers involved in the project are clear about the objective: “Now China is enhancing the development of African iron mines, when the necessary bedrock infrastr...
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