In Beijing, a summit of African leaders is currently being held, where they are having high-level dialogues with Chinese officials at the Forum on China-Africa Cooperation (FOCAC). The summit is set to hold from September 4th-6th for the purpose of strengthening relations between China and Africa while addressing urgent economic issues.
Over the last ten years, China has deepened its connection with African countries by providing them with billions of dollars in infrastructure development loans. However, this increased cooperation has also led to arguments from critics who claim that China’s lending policies have made African countries accumulate unsustainable debts.
Recent statistics indicate that Chinese loans to African states reached their peak level in five years in 2023, with Angola, Ethiopia, Egypt, Nigeria, and Kenya becoming the biggest borrowers. However, analysts state that China’s economic slowdown has led to a decreased willingness to provide such large sums, prompting African nations to seek better loan terms and debt relief.
The FOCAC summit occurs at a crucial time, as most African countries struggle with debt buildup and economic troubles. Some nations are having problems repaying their Chinese loans, which raises fears concerning the durability of this kind of lending operated by China on the African continent.
