Chinese loans for white elephant projects pushed SL and Pak into present crisis

All the blame for the crisis in these two countries cannot be put on the shoulders of Beijing as the majority of it rests on the myopic leadership of these nations.#

Eighteen kilometres from Chinese owned Hambantota Port in Sri Lanka lies Mattala Rajapaksa International airport, which has unfortunately earned the sobriquet of being the least used airport in the world. Built during the presidency of Mahinda Rajapaksa, both port and airport, built from high-interest loans from Chinese EXIM bank, are monuments to fiscal profligacy practised by rulers of the Island nation currently reeling under deep economic and political crisis.

Like Sri Lanka, Pakistan is also the biggest beneficiary of economic assistance from China and that too has descended into political and economic chaos. Instead of Chinese loans making the two economies more resilient, the client states of Beijing have literally folded up in wake of the global economic crisis brought on by a pandemic, which ironically has origins in Wuhan, China.

https://www.hindustantimes.com/world-news/chinese-loans-for-white-elephant-projects-pushed-sl-and-pak-into-present-crisis-101649128210464.html

Related posts