Browsing: Belt and Road Forum for International Cooperation (BRF)

Kenya will be keen to secure a Ksh370 billion (US$3.67 billion) loan from China for the Standard Gauge Railway (SGR) as the World meets for the second Belt and Road Forum for International Cooperation (BRF) in Beijing this week. President Uhuru Kenyatta and former Prime Minister Raila Odinga are expected to lead a delegation from Kenya to the Beijing meeting. If secured, It will push up Kenya’s debt obligation to China to above US$9.8 billion (Ksh991.2 billion), after loans from Beijing closed 2018 at US$6.2 billion (Sh627.1 billion).

Kenya’s Chinese debt to hit USD9.8 billion as world meets in Beijing

Kenya

Loans from China closed 2018 at USD6.2 billion (Ksh 627.1 billion)

Kenya will be keen to secure additional funds from China for construction of Phase 2B of the Standard Gauge Railway (SGR), as the World meets for the second Belt and Road Forum for International Cooperation (BRF) in Beijing.

The forum which takes place this week is expected to attract a high number of Heads of States from Africa and across the globe, with thousands of delegates from over 100 countries.

President Uhuru Kenyatta’s administration is seeking a Ksh370 billion (USD 3.67 billion) loan to extend the rail project which is currently at its second phase of construction (Nairobi-Naivasha).

Phase one of the project, 472 kilometre Mombasa —Nairobi line, is currently operational having been completed and commissioned by President Kenyatta on May 31, 2017.

It was constructed by China Road and Bridge Corporation (CRBC) on a Ksh327 billion (USD3.2 billion) …

Kenya will be keen to secure a Ksh370 billion (US$3.67 billion) loan from China for the Standard Gauge Railway (SGR) as the World meets for the second Belt and Road Forum for International Cooperation (BRF) in Beijing this week. President Uhuru Kenyatta and former Prime Minister Raila Odinga are expected to lead a delegation from Kenya to the Beijing meeting. If secured, It will push up Kenya’s debt obligation to China to above US$9.8 billion (Ksh991.2 billion), after loans from Beijing closed 2018 at US$6.2 billion (Sh627.1 billion).

Is China setting a debt trap on Kenya?

Kenya

Loans from China hit a high of US$6.2 billion last year

The Chinese government has dismissed claims that it’s continued heavy lending to Kenya in the financing of mega infrastructure projects is a ‘ debt trap’, even as loans from Beijing hit a high of ShUS$6.2 billion(Sh625.9 billion) in December last year.

This is up from US$5.3 billion (Sh535 billion) a year earlier with a lion share going towards the construction of the multi-billion Standard Gauge Railway (SGR).

“We are not putting Kenya into a debt trap. China-Africa corporation cannot put Africa into a trap but booming economic growth,” China’s Charge’ D’affaires (Nairobi) LI Xuhang said during a meeting in Nairobi on the update on the SGR and China-Kenya relations.

“Kenya can decide on who they want to partner with. Kenyan people are wise enough to choose their trade and corporation partners. They can decide who benefits them more,” Xuhang …