Chinese President Xi Jinping has announced a $60 billion package of aid, investment and loans to Africa, against a backdrop of growing concern about rising debt distress from Chinese loans to the continent.
The
announcement was made during the Forum on China-Africa Cooperation
(FOCAC) in Beijing, a triennial meeting between senior Chinese leaders
and their counterparts from across Africa.
The
financial package is the same amount Beijing pledged at the previous
FOCAC summit in 2015, and is in line with analysts' expectations that Xi
would not vastly increase the amount of Chinese money flowing into
Africa.
Over
the past nearly two decades, the numbers coming out of FOCAC have
generally risen with each event. The pledge in 2015 was three times the
figure announced at the 2012 forum.
Jeremy
Stevens, international economist for the Standard Bank Group, said many
felt it would not be "politically appropriate" to pledge huge loans
given concern that Africa is becoming overloaded with Chinese debt.
Stevens said Beijing's decision not to hike loans to Africa said it shouldn't be interpreted as a step back in relations.
"In reality is it's not -- it's a maturation and a natural evolution of the relationship," he said.
