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The-Peace-Maker t1_jed9osd wrote

On the contrary, with China, what they’re doing is a form or predatory lending, which exacerbates a country’s economic woes, sometimes into a crisis — and China is well-aware of this. They know these countries shouldn’t be given loans, but they do so because they know they can’t pay them back, and have to give up assets in return. This is why it’s a trap, and more countries are finally waking up to this.

>>Bangladesh’s finance minister Mustafa Kamal has warned that developing nations must 'think twice' about taking more loans through China's Belt and Road Initiative. He said 'Beijing's poor lending decisions' are pushing already indebted nations into economic distress. Highlighting Sri Lanka's crisis, the Bangladesh Finance Minister said that China must follow a more robust process for evaluating its loans.

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DoomsdayLullaby t1_jeddwql wrote

They learned from the best. Loan money, raise interest rates, debt becomes unsustainable, implement a structural adjustment program, privatize a nations resources for pennies on the dollar and massively reduce the cost of local labor. If they don't comply either install a government who will or hyper inflate their currency and lock them out of the global economy until they bend the knee. --The US way.

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hawaii_funk t1_jefdxko wrote

I'm not sure why you're getting downvoted. That's literally the history w/ the IMF and its austerity measures.

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