China 'cancels interest on Ethiopian loans', estimated $12 billion to $20 billion

[beijingwalker]

China 'cancels interest on Ethiopian loans'
1min ago | Source: BBC

The Ethiopian authorities say China has cancelled the interest on all loans that were taken out before the end of last year.

Prime Minister Abiy Ahmed's office made the announcement following a meeting with President Xi Jinping in Beijing.

Researchers estimate that since 2000 Ethiopia has borrowed more than $12bn (£9bn) from China - including £4bn for a railway linking the land locked country with Djibouti.

The fact that the amount of interest owed has not been made public is a key concern of anti-debt campaigners.

They are calling for loans to be transparent as many African countries have been burdened with unsustainable debts.

Image caption: Ethiopia borrowed money to build a railway.

https://businessghana.com/site/news/politics/185963/China-cancels-interest-on-Ethiopian-loans

 

[Beast]

Loan and interest need no transparent cos China will not able to cancel it off once it's know. If China is only about making debt trap to earn more money. Why cancel the interest? A slap on China debt trap Slayer.

Reports coming from Beijing show that China has agreed to cancel all interest accumulated from its debt – estimated b/n $12 billion to $20 billion.

Published on 24.04.2019 at 17h21 by APA News

Chinese president Xi Jinping has announced the cancellation of interests for loans it provided to Ethiopia until the end of 2018.The president announcement comes on Wednesday while he held discussion with Prime Minister of Ethiopia Abiy Ahmed and his delegation in Beijing ahead of the Belt and Road Forum.

The Chinese President admired the leadership of Prime Minister Dr Abiy and the reforms he has led over the past year, noting that China holds Ethiopia’s development in high regard, according to the Office of the Prime Minister.

Furthermore, President Xi emphasized that the Chinese government attaches high importance to the beautifying Sheger project and is working on a grant assistance in its support.

Both parties agreed to a strengthened cooperation between the two countries in various sectors, according to office of the Prime Minister.

PM Dr Abiy for his part shared with the commitment of Ethiopia to deepening the Comprehensive Strategic Partnership with China, which is enabling critical moves like restructuring the debt of the Addis Ababa-Djibouti railway.

The railway project is an early harvest of the Belt and Road Initiative that Ethiopia is part of.

In addition to a common understanding on global, regional cooperation and bilateral issues, PM Dr Abiy also expressed his concern on the detainment of the young female engineer Nazrawit Abera.

Prime Minister Dr Abiy arrived in China on Tuesday to attend the second Belt and Road Forum for International Cooperation (BRF), which will be held on April 25-27 in Beijing.

This year’s forum will be held under the theme “Belt and Road Cooperation: Shaping a Brighter Shared Future.”

The forum events include leaders’ round-table, high-level meeting, thematic forums, CEO conference and other side events.

Representatives from over 100 countries, including 40 leaders of foreign governments have confirmed their attendance.

The first Belt and Road forum was held in 2017.

https://www.journalducameroun.com/en/china-annuls-ethiopias-loan-interests/

China loan is all about friendship and help

Only American care about money and profit

 

[beijingwalker]

Reports coming from Beijing show that China has agreed to cancel all interest accumulated from its debt – estimated b/n $12 billion to $20 billion.

Published on 24.04.2019 at 17h21 by APA News

Chinese president Xi Jinping has announced the cancellation of interests for loans it provided to Ethiopia until the end of 2018.The president announcement comes on Wednesday while he held discussion with Prime Minister of Ethiopia Abiy Ahmed and his delegation in Beijing ahead of the Belt and Road Forum.

The Chinese President admired the leadership of Prime Minister Dr Abiy and the reforms he has led over the past year, noting that China holds Ethiopia’s development in high regard, according to the Office of the Prime Minister.

Furthermore, President Xi emphasized that the Chinese government attaches high importance to the beautifying Sheger project and is working on a grant assistance in its support.

Both parties agreed to a strengthened cooperation between the two countries in various sectors, according to office of the Prime Minister.

PM Dr Abiy for his part shared with the commitment of Ethiopia to deepening the Comprehensive Strategic Partnership with China, which is enabling critical moves like restructuring the debt of the Addis Ababa-Djibouti railway.

The railway project is an early harvest of the Belt and Road Initiative that Ethiopia is part of.

In addition to a common understanding on global, regional cooperation and bilateral issues, PM Dr Abiy also expressed his concern on the detainment of the young female engineer Nazrawit Abera.

Prime Minister Dr Abiy arrived in China on Tuesday to attend the second Belt and Road Forum for International Cooperation (BRF), which will be held on April 25-27 in Beijing.

This year’s forum will be held under the theme “Belt and Road Cooperation: Shaping a Brighter Shared Future.”

The forum events include leaders’ round-table, high-level meeting, thematic forums, CEO conference and other side events.

Representatives from over 100 countries, including 40 leaders of foreign governments have confirmed their attendance.

The first Belt and Road forum was held in 2017.

https://www.journalducameroun.com/en/china-annuls-ethiopias-loan-interests/

 

[Sanchez]

I'd applaud if our government do the same to Pakistan and Cambodia.

 

[beijingwalker]

I kind of worry what if no countries like to pay interest of the Chinese loans in the future, if you give zero interest loans, factoring in the normal inflation year on year, you'll end up losing money big time.

 

[RealNapster]

I'd applaud if our government do the same to Pakistan and Cambodia.

I would be more greatefull if China help us built dams in Kashmir and Gilgit baltistan on BoT basis, as we are unable to arrange lenders for those projects due to Indian influence on WB, ADB and others. I think china will be more then willing if we ask. As till know all that we asked for, China provided.

I kind of worry what if no countries like to pay interest of the Chinese loans in the future, if you give zero interest loans, factoring in the normal inflation year on year, you'll end up losing money big time.

China can link loans to gold terms. That way you won’t lose any money. Instead, if gold prices rise, (which china can do also due to large gold reserves and buying more) you will end up with more money then you borrowed, and no one will blame China for any debt trap. Though i know west will still find more silly excuses to blame china.

 

[The Accountant]

I kind of worry what if no countries like to pay interest of the Chinese loans in the future, if you give zero interest loans, factoring in the normal inflation year on year, you'll end up losing money big time.

No way ... China is giving loan against projects to be done by China ... So in short they are financing their own indutry ... this is indirect way of financing companies in China ... You will get profit through projects

 

[Shabi1]

I kind of worry what if no countries like to pay interest of the Chinese loans in the future, if you give zero interest loans, factoring in the normal inflation year on year, you'll end up losing money big time.

Not really, the genius part is those loans pay for contracts to infrastructure built by Chinese companies so still a win win as own companies getting value added profits. China has huge reserves and those reserves generating revenue and receivables outside China this way.

 

[Max]

I'd applaud if our government do the same to Pakistan and Cambodia.

If You Chinese just help us shorten trade deficit of $14 billion a year, Pakistan will be able to pay all your interests and loans with big smile on face.

 

[DrasticMeasure]

Only American care about money and profit

So you are telling me that Chinese Lending banks dont give any hoots about money and profit ????

 

[Beast]

So you are telling me that Chinese Lending banks dont give any hoots about money and profit ????

Answer me. Why China cancel interest for the loan? No interest, no profit. That is basic logic. China lend money is for fteidnship and only Slayer will claim China is greedy. China is the good guy and most righteous nation. Only evil and western bootlicker will claim China is bad.

 

[DrasticMeasure]

Answer me. Why China cancel interest for the loan? No interest, no profit. That is basic logic. China lend money is for fteidnship and only Slayer will claim China is greedy. China is the good guy and most righteous nation. Only evil and western bootlicker will claim China is bad.

Got it. Thank you.

 

[beijingwalker]

If You Chinese just help us shorten trade deficit of $14 billion a year, Pakistan will be able to pay all your interests and loans with big smile on face.

The two governments are working on that, but the whole world is having trade deficit with China cause China basically makes everything, so it's not easy for any particular country not to have trade deficit with China.

 

[Max]

The two governments are working on that, but the whole world is having trade deficit with China cause China basically makes everything, so it's not easy for any particular country not to have trade deficit with China.

i understand, i wish China have positive trade balance with all countries including Pakistan. but at tolerable leval. Iron brother deserve some special concession in trade not big trade deficit, i hope the Chinese and Pakistani leadership will work on this as fast as possible.

 

[atan651]

Business comes first, otherwise why make loans to begin with. Friendship, goodwill etc. should be regarded as secondary importance.