Developing countries face "tidal wave of debt repayments" to China: report
France 24Tuesday, May 27, 2025 at 7:51:56 PM
Developing countries—especially the world’s 75 poorest nations—are bracing for a massive wave of debt repayments to China this year, according to a new report. The Lowy Institute, an Australian think tank, warns that China has shifted from being a top lender to these nations to now aggressively collecting on those loans. With new lending slowing down and old loans coming due, struggling economies could face even tighter financial squeezes. Meanwhile, in unrelated news, French taxi drivers are still on strike, holding out as unions negotiate with the government.
Editor’s Note: This isn’t just about balance sheets—it’s about real-world consequences. If cash-strapped nations are forced to prioritize debt payments to China over things like healthcare or infrastructure, it could deepen poverty and instability in already vulnerable regions. And with China tightening the purse strings, these countries have fewer lifelines to turn to. It’s a stark reminder of how global lending shifts can ripple through economies, leaving the poorest to bear the brunt.
— Curated via WP Now’s
