Connect with us

Hi, what are you looking for?

Capital Business
Capital Business

Top Story

China dismisses Africa debt fears at start of FM tour

“We know that in terms of financing, some African countries have encountered difficulties,” said China’s Foreign Minister Wang Yi

Addis AbabaEthiopia, Jan 4 – Chinese Foreign Minister Wang Yi played down concern over Africa’s debts with Beijing on Thursday as he arrived in Ethiopia at the start of a four-nation Africa tour.

China has funnelled cash and loans into infrastructure projects across the continent, where many African leaders consider Beijing’s terms a better deal that than those offered by bilateral Western nations.

Wang initially sidestepped concerns – often made by Western nations – about whether the debt repayments were sustainable.

“Generally, debt in Africa has been a protracted issue left from history,” Wang said. “It didn’t come up today, still less is it caused by China.”

China is the single largest bilateral financier of infrastructure in Africa, exceeding the combined total of the African Development Bank (ADB), the European Union, International Finance Corporation, the World Bank and the Group of Eight (G8) countries.

“We know that in terms of financing, some African countries have encountered difficulties,” Wang added, speaking on the first leg of a tour that will also include The Gambia, Senegal and Burkina Faso.

Chinese foreign investment and construction between 2005 and 2018 totalled $298 billion in sub-Sahara Africa, according to data compiled by the American Enterprise Institute (AEI), a conservative research organisation.

Both Wang and his Ethiopian counterpart, Foreign Minister Workneh Gebeyehu, spoke warmly of ties between their nations – and dismissed a suggestion that relations had cooled since Prime Minister Abiy Ahmed came to power last year with a sweeping reformist agenda.

“The reform process in Ethiopia – we believe it will further strengthen our ties with China,” Workneh said.

“China will continue to be Ethiopia’s strategic partner,” he added.

Advertisement. Scroll to continue reading.

“China attaches great importance to that, as Africa’s good friend and brother. We’re always ready to extend a good hand when African countries need it.”

Click to comment
Advertisement

More on Capital Business

Executive Lifestyle

NAIROBI, Kenya, Mar 12 – The country’s super wealthy individuals are increasing their holding of bonds, gold and cash, a new report by Knight...

Ask Kirubi

NAIROBI, Kenya, Mar 9 – Businessman and industrialist Dr. Chris Kirubi has urged members of the public to exercise extreme caution when making any...

Ask Kirubi

NAIROBI, Kenya, Mar 24 – Businessman and industrialist Dr. Chris Kirubi is set to own half of Centum Investment Company PLC, following a go-ahead...

Ask Kirubi

It is without a doubt that the COVID-19 pandemic has caught the whole world by surprise. Although its full impact is yet to be...

Headlines

NAIROBI, Kenya, Mar 18 – Commercial Banks have been ordered to provide relief to borrowers on their personal loans, with loans eligible from March...

Kenya

NAIROBI, Kenya, Jun17 – Kenya’s tea leaves manufacturer Kericho Gold, has been awarded the Superbrands Seal by Superbrands East Africa for their quality variety...

Coronavirus

NAIROBI, Kenya, Apr 13 – As the local telecommunications industry gears up to roll out 5G networks in the country, the Communications Authority of...

Coronavirus

NAIROBI, Kenya, Mar 22 – Airtel Kenya is offering free internet access for students in order to enable continued learning at home in the...