Beijing is not happy with the strict conditions of the International Monetary Fund (IMF) for the resumption of the USD 6 billion bailout package program, which may exacerbate Pakistan's economic troubles and draw scrutiny to Chinese loans.
Witnessing the living example of Sri Lanka's economic crisis, African countries, which are caught in China's soft loan trap, are fearing that Beijing won't bail them out, Pardafas.com reported.
China is making huge investments in underdeveloped or poor countries ultimately setting them up for defaulting on China's loans and making compromises to China
After US Under Secretary of State for Political Affairs Victoria Nuland during her visit to Sri Lanka said that the terms extended by China to Colombo for IMF debt relief are not enough, the Chinese Foreign Ministry has now retaliated saying that rather than commenting upon Beijing's ties wi
China's Belt and Road Initiative (BRI) has left scores of Lower and Middle-Income Countries (LMIC) saddled with "hidden debts." China is using debt rather than aid to establish a dominant position in the international development finance market.
The Philippines must keep in mind that Chinese investments are known to be predatory and opaque in nature, with terms that are heavily skewed against the recipient country.
According to TRC, China has stepped up its Buddhist outreach to Sri Lanka, which remains a major Buddhist nation and is also targeted by Beijing under its Debt-Trap Diplomacy.
The Chinese Embassy in Sri Lanka slammed the US recently after an American diplomat called China a 'spoiler' to Sri Lanka's negotiations with the International Monetary Fund (IMF) in a recent interview.
The country owes almost one-third of its external debt to China, which is facing criticism for its debt trap diplomacy globally. The Pakistan regime has always ignored the people of the country while spending huge amounts of money on acquiring military equipment.
Nepal Prime Minister Pushpa Kamal Dahal on Sunday inaugurated the country's third international airport, built in the backdrop of the Annapurna Mountain Range with Chinese loans and donations.
Southeast Asian countries have resiliently withheld China's attempts to economically breach their sovereignty and have harnessed the power of China's financial might to their own advantage, reported The Singapore Post.