The People’s Republic of China, which is among the three largest economies in the world, canceled interest-free loan debts that African countries should pay by the end of 2020, brought the debt of the world countries to China.
Speaking at the Extraordinary Sino-Africa Summit after the Covid-19 outbreak, Chinese President Shi Cinping (Xi Jinping) said that African countries will delete interest-free loan payments that expire this year.
According to the data of the Johns Hopkins University’s China-Africa Research Initiative, the Chinese government and its banks gave African countries approximately $ 143 billion in 2000-2017.
According to Harvard Business Review data, the Chinese government and state-owned banks and other organizations have lending more than 150 countries worldwide to $ 1.5 trillion so far.
In this respect, the Beijing government also outstripped the total amount of loans lent by international institutions such as the World Bank, the International Monetary Fund (IMF) and the Organization for Economic Cooperation and Development (OECD).
Developing Asian and African countries have high debt to China
Countries such as Djibouti, Oceania country Tonga, Maldives, Democratic Republic of Congo, Kyrgyzstan, Cambodia, Niger, Laos, Zambia, Samoa, Manuatu and Mongolia have more than 20 percent of their gross national product loans.
African countries called on G-20 countries to “delete or postpone their debts” in order to recover their difficult economies.