Beijing, 12 August 2022 (TDI): Chinese Spokesperson of the Ministry of Foreign Affairs, Wang Wenbin explained the credibility of BRI loans and the China and Nepal cross-Himalaya connectivity project at a press conference on August 11, 2022.
The Chinese Spokesperson said, Senior Bangladeshi leaders, including the Prime Minister and Foreign Minister, recently expressed gratitude to China for its help and loans. They also welcomed China for cooperation on projects in Bangladesh.
FM Spox:We believe developing countries will see these things in a fair&objective way & make fair judgement. Senior #Bangladeshi officials like Prime Minister & Foreign Minister recently have thanked #China for providing aid&loans,welcomed🇨🇳mutually beneficial coop projects in🇧🇩 pic.twitter.com/phQJEjq8C4
— Ji Rong嵇蓉 (@JiRongMFA) August 11, 2022
Wang Wenbin highlighted the difference between Chinese loans under BRI and the procedures of loans that Western states gave.
He said, “We believe developing countries will see these things in a fair and objective way and make a fair judgment.”
Wang Wenbin further said that China and Nepal agreed to build the Trans-Himalayan Multi-Dimensional Connectivity Network.
China will send experts to Nepal to perform an on-the-ground survey this year. Chinese funding for Nepal will be used to help the feasibility study of the China-Nepal cross-border railway.
Chinese Spokesperson on the credibility of BRI loans
Furthermore, he stated that through Belt and Road cooperation, China has actively aided the economic growth of other developing nations. The communities have gained real benefits from it, and developing states have embraced and greatly valued it.
China’s loans to developing nations like Bangladesh and Sri Lanka account for a far smaller percentage of global loans than loans from Western nations.
Most of the loans China gives to developing states are concessional loans with low-interest rates and long terms. Moreover, China’s loans not only reduce its debt burden but also help to advance its infrastructure and the living standards of its citizens.
China has completely implemented the G20 Debt Service Suspension Initiative and focuses on alleviating the debt vulnerability of developing countries. China ranks first among G20 members in terms of deferral amount.
On the other hand, the US and other Western countries have used poor regulatory financing terms. In this way, they convince developing states to issue a significant number of high-rate bonds. This has led to debt increases in these states.
Moreover, the Western states impose unilateral sanctions and tariff barriers that threaten the safety of global supply and industrial chains. It also increased the costs of bulk commodities and deteriorated the economic situation of developing states.
Wang Wenbin said, instead of taking responsibility for their actions, the Western nations blamed China by calling Chinese loans “China’s debt trap.” Developing nations should view these issues fairly and then pass judgment.
