The Complicated Geopolitics Behind the G20’s Debt Suspension Program

Africa economist Mark Bohlund made an interesting observation yesterday following the news that both Djibouti and Zambia had been approved by the G20 to take part in the Debt Service Suspension Initiative. The fact that both countries owe little to nothing to one of China’s largest policy banks, the China Development Bank, may have played a role in their admission to the DSSI.

There are longstanding concerns in U.S. and European capitals that any debt relief afforded to African countries may be used to repay loans to China or that China’s three enormous policy banks will otherwise benefit indirectly.

  • Get a daily email packed with the latest China-Africa news and analysis.
  • Read exclusive insights on the key trends shaping China-Africa relations.
  • Full access to the News Feed that provides daily updates on Chinese engagement in Africa and throughout the Global South.

China, Africa and the Global South... find out what’s happening.

Subscribe today for unlimited access.

OR

Already a subscriber? Log in Click Here to Learn More
by Eric Olander

Most Read

1
Developing Countries’ Debt Servicing Costs to China Are Significant, but Nowhere Near as Much as Other Creditors
2 Chinese Military Fans Discuss Why Indonesia Bought Rafale Instead of J-10C
3
Chinese Cargo Planes Secretly Ferrying Supplies to Iran, Claim Online Sleuths
4 Trump’s Contradictory Iran Strategy Leaves U.S. Weaker After War’s End, Says Chinese Commentator
5
Indonesia Goes Nuclear, Taps China and Russia for Modular Reactors
6
Thailand in Last-Minute U.S. Talks as 36% Tariff Looms

You Might Like

Chinese Concessional Loans are Going to Look a Lot More Attractive to African Borrowers Now that Eurobond Interest Rates Are Going Through the Roof

The cost of borrowing money for a number of African governments is skyrocketing amid the worsening global economic crisis brought on by the COVID-19 outbreak and the implosion of the OPEC+ alliance. Under ...

Reminder: Africa Doesn’t Have a Chinese Debt Problem, About 10 African Countries Do

The South China Morning Post’s Inkstone team published a brief analysis today showcasing data from the China-Africa Research Initiative (CARI) at Johns Hopkins University. It provides a fresh reminder that the ...

China Is Now a Key Player in Zambia’s Worsening Debt Crisis

We’ll know next week if Zambia is going to be the first African country this year to default on part of its debt, or if it’ll get the repayment reprieve it’s been asking ...

Dissecting the Zambian Debt Crisis and What Role China, Private Creditors Played

One week after Zambia failed to meet a deadline to repay $42.5 million on some of its Eurobond debt, African and international media are examining what went wrong and who precisely is to ...

What is The China-Global South Project?

Independent

The China-Global South Project is passionately independent, non-partisan and does not advocate for any country, company or culture.

News

A carefully curated selection of the day’s most important China-Global South stories. Updated 24 hours a day by human editors. No bots, no algorithms.

Analysis

Diverse, often unconventional insights from scholars, analysts, journalists and a variety of stakeholders in the China-Global South discourse.

Networking

A unique professional network of China-Africa scholars, analysts, journalists and other practioners from around the world.

More about CGSP