Topic: Chinese loans leaves many countries in "hidden debts" - page 3. (Read 348 times)

That is exactly what the post says and if you read the link in the OP, you'd understand even better, these loans aren't collected without the federal government being aware, just that it isn't directed to central government institutions, thus most of it goes underreported in the eyes of most of the world.
The Chinese belt and road initiative is designed to help/provide assistance for other countries, and the Chinese government knows fully well that most of this countries are actually in need of these loans, thus I find it extremely petty that the Chinese government have ulterior motives to put their borrowers into a debt trap and either tap from their resources or just basically out of lack of choice get their support in economic and political matters, it doesn't matter if they actually benefitted from the loan, but it's the concealed intention behind giving out the loan in the first place that's the bigger problem.

This is not just the fault of China but that of the corrupt government officials who would sell their conscience and mortgage the future of unborn members of the country in a huge loan deficit that sometimes the terms of reference to the loans are not clearly on papers or public eyes , they conceal them. They sometimes right the terms in Chinese language that will confuse the people.

The loans are in fact new ways for recolonization of the countries and subject them to themselves. Countries need to be careful while signing these loan agreements because not to end up giving out the countries inheritance in ignorance or selfish political interest.

Debt traps, and when the beneficiary country can no longer afford to pay China on their ‘aid,’ China will then turn to ask for their natural resources and that’s where their scheme pays off. I remember reading an article about a particular African country wherein the Chinese built some infrastructures and in turn harnessing the said country’s minerals and ore deposits. It also happened in Brazil AFAIK, wherein a portion of the Amazon was burnt to make way for China’s soy products to be farmed and planted there.

China’s deceptive ‘aid’ on developing countries could not be helped, though, as those countries receiving the aid can’t say much about what the communist nation wants to do in their country. It’s subtle bullying and control on China’s part, and it needs to be checked.

This reminds what I read a couple of months ago about the amount Mongolia is owing to the Chinese but for what is what, the Chinese government never forces any of the developing countries to ask for assistance and I believe they understand very well what the deal is involved.
 
Why did still go for it? It means the government of the developing countries that require this loan also profit from the loan they got from the Chinese.

I don't know how relevant this information was. I do know that both the federal and state government has the right borrow money but when it has to do with another country I don't think the state can do it without the federal not knowing about it.


This is probably the Chinese government's strategy to enslave the developing countries but every government from those countries need to be wise and understand their intention.

There is no point to seize those assets. The chinese government doesnt want to seize anything because that would leave a bad taste on their reputation but rather to have more favourable position in those specific countries especially in economic sector. Aside from that, this debt trap diplomacy will give the chinese better position than US as both countries are currently the world's largest economic power


Some other 3rd world country in Asia as well

I think this came out a few years ago as something China has been doing quite a lot to countries (especially in Africa).

It's been seen as a potential to be a strategy for invading/controlling countries, however it might just be a line between that and keeping countries in favour of them (to do things like not impose trade sanctions on China).

The Chinese Government is popular in handing out loans, especially to poorer countries, but recent research has it that it has left majority of this developing and underdeveloped countries in massive "hidden debts", see the excerpt below:
The Chinese belt and road initiative is a scheme designed by China to support developing countries by financing numerous projects in their country, but this scheme rather than actually aiding this countries, looks more like it makes them more and more indebted to China, see the excerpt below:
Another flashpoint of the belt and road initiative is that majority of this loans isn't directed to institutions owned by the Central government of the borrowing country, but to state-owned establishments, private organizations etc, but all with the consent of the central government that can jump in to bail out companies that prolly can't repay the loans, thus by extension, many of this debts go underreported, but this countries are actually in greater debt to China than most of the world actually knows, see the excerpt below:

Having said all these, is this a way that the Chinese government intends to keep many countries of the world indebted to them through this debt trap, knowing fully well that most of them would falter in repaying the loan leaving the Chinese government no other option but to seize some of their assets, I see this to be amongst China's plan towards being the country with the best economy in the world in some years to come, and just as is typical with the dictatorial Chinese government, they want to be the only ones at the advantage, leaving others at the receiving end.

Here is the source of the news for better understanding: https://www.cnbc.com/2021/09/30/study-chinese-loans-leave-developing-countries-with-385-billion-in-hidden-debts.html