China has contributed immensely to the debt suspension and relief for African countries, a Ghanaian economist has said.
Richard Dei-Tutu, an economist with Simba Consult, a management consultancy company, described China’s efforts to help African countries with the debt issue as impetus for rapid development in areas like infrastructure and agriculture.
China has remained a genuine partner of developing countries in need of capital for projects, he told Xinhua in a recent interview.
“China always adheres to the principle of equality in bilateral relations and proactively participates in just and fair negotiations with different nations to deal with such issues,” he said.
He lauded China’s contribution to such negotiations across the world, especially when developing countries face difficulties in debt repayment.
“African countries borrow in dollars, which comes with repayment challenges as currency depreciation makes their debts more expensive,” Dei-Tutu noted.
The economist firmly debunked the narrative of “debt trap”, saying that Chinese loans were attractive to African and developing countries due to their flexibility. And the debt issue in Africa requires efforts from all sides.