As Chinese aid slows down, the whole world will feel the pinch
By Robert Muggah
Published in Devex
If Chinese lending declines, sub-Saharan Africa’s ability to raise financing will be deeply affected. Reductions in Chinese aid could result in the cancellation or delay of infrastructure projects, hampering economic growth. So how can global cooperation step up?
China’s economic slowdown is linked to inflation and fears of global recession due to the COVID-19 pandemic and Russia’s war in Ukraine. China’s domestic challenges are another factor, including soaring local government debt, which currently stands at $9.5 trillion, and a cratering real estate sector. While some observers anticipate a turnaround in 2023, a diminished China would have ruinous impacts on the world’s most vulnerable countries.Leia o artigo