Thursday June 18, 2020 – Chinese President Xi Jinping has offered African Heads of State, including Kenya’s Uhuru Kenyatta, a lifeline during a video call that took place yesterday.
This is after he pledged to cancel interest-free debts for what he termed as ‘relevant countries’.
“Within the FOCAC (Forum on China-Africa Cooperation) framework, China will cancel the debt of relevant African countries in the form of interest-free Government loans that are due to mature by the end of 2020.”
“For those African countries that are hardest hit by the coronavirus and are under heavy financial stress, China will work with the global community to give them greater support, by such means as further extending the period of debt suspension, to help them tide over the current difficulty,” stated Xi.
Jinping further disclosed that the move was part of his plan to save the continent from the dire effects of the novel coronavirus that continues to threaten economies.
He also pointed out that Beijing will work with other international lenders to cushion African countries from the pandemic.
Kenya alone owes the Asian country more than Ksh 530 billion in debt with the African continent owing China Ksh 14.5 trillion.
On Monday, June 8th, China announced that it will delay loan repayments for 77 low-income countries as part of the G20 nations debt relief program.
G20 is a group of 20 major economies in the world.
The Kenyan DAILY POST