WEEK IN REVIEW: Kenya’s Monetary System Struggling Under the Weight of Chinese Debt Servicing Obligations

The demands of servicing debts, largely to China, are weighing heavily on Kenya’s monetary system. The shilling dropped again in Monday trading and the central bank reported that foreign exchange reserves have plunged by $899 million over the last three months. Analysts say beyond the hundreds of millions of dollars Kenya is using to repay loans to China, the holiday season is also increasing the demand for dollars. It all puts added pressure on the shilling, which closed at 112.83 to the dollar, a dangerous drop of more than 10% since last year. (THE STANDARD)

The High Court in the Ghanaian capital Accra has adjourned the lawsuit brought by civil society groups against the government to halt Chinese bauxite mining in the Atewa Forest Range. The court will resume the case on February 8th next year and will have to judge whether the government should allow Chinese mining companies to prospect in the nature reserve as part of the $2 billion resources-for-infrastructure signed in 2018. (GHANA NEWS)

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The post WEEK IN REVIEW: Kenya’s Monetary System Struggling Under the Weight of Chinese Debt Servicing Obligations appeared first on The China Africa Project.

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