Kenya must avoid China debt trap or fall into Sri Lanka pit

A Standard Gauge Railway passenger train arrives in Nairobi on May 31, 2017. The railway line which was constructed at the cost of Sh372 billion, 90 per cent being funded by China Exim Bank, is the biggest infrastructure project since independence. PHOTO | FILE | NATION MEDIA GROUP

What you need to know:

  • Djibouti is also about to cede control of a key port to a Bejing-linked firm in circumstances not too dissimilar.

  • Just the other day, Head of Public Service Joseph Kinyua was forced to issue a circular warning against the proliferation of these deals.

  • The American conglomerate Betchel Construction and Engineering plans to build an express highway with four lanes and 19 exchanges.

  • The Chinese will readily offer you infrastructure loans but you will only start feeling the pinch when the time for servicing the debt comes calling.

It seems to me that we are gradually sinking deeper and deeper into the phenomenon described in contemporary literature as the Chinese debt-trap diplomacy.


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