China has officially refuted the United States' recent allegations that its international aid programs are creating a \"debt trap\" for developing nations. A spokesperson for the China International Development Cooperation Agency (CIDCA), Li Ming, emphasized that no partner countries have reported falling into debt difficulties due to Chinese cooperation.
In a statement posted on the CIDCA website, Li stated, \"China attaches great importance to the debt issue facing developing countries. We have followed the principle of consultations on an equal footing and mutually beneficial cooperation to help developing countries ease their debt burdens and grow their economies sustainably.\" He further asserted that Western-dominated commercial creditors and multilateral financial institutions hold a significant portion of the debt in developing countries.
The U.S. had previously criticized China's Belt and Road Initiative (BRI) during a congressional hearing, claiming that projects like the Safe City initiative disregard human rights and promote corruption. Li countered these accusations, describing them as \"untenable\" and highlighting that China offers loans on favorable terms with agreements based on the recipient countries' needs.
Supporting his claims, Li referenced a World Bank report indicating that the full implementation of China's BRI could boost trade among participating countries by 4.1 percent and elevate global real income by 0.7 to 2.9 percent. By 2030, the initiative is projected to generate approximately $1.6 trillion in business revenue annually worldwide.
China's stance underscores its commitment to fostering sustainable economic growth and strengthening international partnerships through collaborative development projects.
Reference(s):
cgtn.com
