Ghana Ranks 9th in Africa for Highest Outstanding Loans to China

Ghana ranks 9th in Africa for the highest outstanding loans to China, totaling $6.1 billion. The report from Boston University highlights increased loans to several African countries for infrastructure projects, raising concerns about debt sustainability and economic independence. Angola leads with $46 billion, followed by Ethiopia and Egypt.

Ghana has secured the 9th position in Africa for the highest outstanding loans owed to China, with a total debt reaching approximately $6.1 billion. This data comes from a recent report by Boston University’s Global Development Policy Center, highlighting the increasing trend of financial engagements between China and African nations through infrastructure loans.

Leading the list is Angola, which has amassed an impressive $46 billion in loans from China, followed by Ethiopia at $14.5 billion, Egypt at $9.7 billion, and Kenya and Nigeria both sitting at $9.6 billion each. Other notable entries in the ranking include Zambia in 6th place with $9.5 billion, South Africa in 7th with $6.9 billion, and Sudan and Cameroon with $6.3 billion and $5.9 billion, respectively.

The Boston University findings underscore a significant rise in China’s financial involvement within Africa over the last two decades, primarily focusing on infrastructure projects. While these loans have facilitated the construction of roads, railways, and power plants in numerous countries, they have also sparked concerns about long-term debt sustainability, potential repayment issues, and the overall independence of African economies.

Data reflecting loan agreements between China and various African countries spans a 13-year period, from 2000 to 2023. As these nations navigate their financial landscapes, the implications of such heavy borrowing are increasingly scrutinized.

Ghana ranks 9th in Africa for outstanding loans to China, owing $6.1 billion. The country appears in a report which indicates a broader trend of increasing debts across the continent. While China’s investment has bolstered infrastructure development, concerns regarding debt sustainability and economic autonomy continue to arise. This report necessitates closer examination of the implications of such deep financial ties.

Original Source: www.myjoyonline.com