Follow CGSP on Social Media

Listen to the CGSP Podcast

Chinese Lending Cut Makes Japan Kenya’s Largest New Lender

by Cobus van Staden

A sharp cut in Chinese lending to Kenya means that Japan now outpaces it in new lending to the East African country, according to new numbers released by the Kenyan Treasury. Compared to a height of $1.2 billion in 2016, Chinese lending to Kenya for the current fiscal year is projected to total a modest $255 million, just ahead of $202 million from France.

However, China remains Kenya’s largest bilateral creditor, due to large historic loans that were used to build projects like the Standard Gauge Railway. The World Bank is currently Kenya’s largest external lender, surpassing China this year. Kenyan debt to China now stands at an estimated $6.95 billion, with loans from Japan only coming in at $1.42 billion.

Lead the Conversation on China

Subscribe Today to Get Full Access to The China-Global South Project

Check Out Everything You'll Get With Your Subscription

The China-Global South Daily Brief delivered to your inbox at 6AM Washington time

Full access to exclusive news and analysis from editors based in the Global South

Transcripts of CGSP’s twice-weekly podcasts

Students and teachers with a valid .edu email address are eligible for a 50% discount off monthly or yearly subscriptions. Email us to receive a discount code.

You Might Like

Kenyan Presidential Hopefuls Want to Sell Pot and Avocados to Repay Country’s Debts to China

It’s not unusual for China to emerge as a contentious hot-button electoral issue during presidential campaigns in Africa but rarely as flamboyantly as in Kenya’s increasingly colorful race. Two of the candidates, one ...

Kenyan Election Campaign Targets Chinese Loans

Chinese loans are looming large as Kenya gears up for its presidential election. Aden Duale, an MP for the opposition leader William Ruto’s Kwanza Coalition, singled out loans as a cause ...

Questions About China’s Debt Writeoff

While the Chinese government hasn’t yet released a full list of the zero-interest loans to poor countries, it will write off, that hasn’t stopped some African governments from celebrating. 

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.