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Why African Countries in Debt to China Should Pay Close Attention to What’s Happening in Laos

A Chinese state-owned company will take control of the power grid in Laos, one of Asia’s poorest countries, in a deal to stave off default of its multi-billion-dollar debts to China.

The two sides reached an agreement last week for Electricite du Laos (EDL) and China Southern Power Grid (CSG) to sign what’s been framed as a “shareholders’ agreement” that will create a new parastatal entity called the Laos Transmission Company Limited (EDLT). 

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