Agencies-Gaza post
China cancels some of its debts owed to 17 African countries
China, the largest government lender to emerging economies, announced its intention to cancel 23 interest-free loans it provided to 17 African countries, and direct $10 billion from its balances in the International Monetary Fund to the countries of the continent, according to Bloomberg.
This came in a speech delivered by Chinese Foreign Minister Wang Yi in front of ministers and representatives of African countries during the Forum on China-Africa Cooperation, which was held remotely, about allocating reserves with China in the International Monetary Fund for the benefit of the countries of the continent.
The decision concerns the cancellation of 23 interest-free loans on 17 African countries whose repayment was delayed in 2021, and China did not clarify the size of the debts that will be written off, nor the names of the countries involved in the decision.
Since 2000, Beijing has announced the cancellation of several loans it granted without interest to African countries, canceling $3.4 billion in loans until 2019, according to a study published by the Johns Hopkins University School of Advanced International Studies.
China limited debt cancellation to those that had reached its maturity, and aid to foreign countries was given without interest, and Zambia had the largest share of debt canceled during that period.
