Ananda
The Bunker Group
‘Tidal wave’: How 75 nations face Chinese debt crisis in 2025
Developing countries to pay a record $22bn this year, mostly linked to loans from China’s Belt and Road Initiative.
Is it Debt or Investment strategies ? In the video the Tongan official seems certain any debt repayment with China can be negotiate. This is different with what others believe on impending Chinese Debt Trap.
Chinese debt usually align with the Investment from their private sector. Some in market already see the patern where same Chinese Financial Instutions finance infrastructure Debt and Investment on private sectors.
There are indications the infrastructure investment financing payment schedulle being renegotiate, while Chinese Private sectors continue dominating the trade. If in the end those infrastructure debts being reschedulle or even got some discount financing payment, but on other hand private sector financing shown good results, the same financial institutions will regain all their credit financing payment on overall.
China then regain diplomatic good will by shown "reasonable" investment financing scheme. In the end host country infrastructure being develop, but the chinese private sectors investment also flourishing and get biggest price. I do suspect the real aim is the later one.