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No. China doesn't do that. That's why corrupt leaders love Chinese loans. Unlike the IMF, China simply doesn't care that the loans will not actually lead to an
by asdajksah2123 3y ago
No. China doesn't do that. That's why corrupt leaders love Chinese loans.
Unlike the IMF, China simply doesn't care that the loans will not actually lead to any improvements for the citizens of the recipient country, and are happy for the leaders to simply pocket the money in return for the country and its citizens paying China high rates and then eventually giving away the project to the Chinese.
The IMF/World Bank have been consistently maligned, but it's increasingly clear that their demands for prudence is beneficial to the actual citizens of the country. The negative consequences are not a result of the financial prudence they require, but rather, a result of the mess the country got themselves in so they needed to go to the IMF to get money in the first place.