Browsing: china africa debt

After Zambia’s sovereign default, the G20 expressed concern that a “debt tsunami” could engulf the continent’s most heavily indebted nations. In response, the G20 and the Paris Club established a “common framework” with the intention of assisting more than 70 countries in dealing with the aftermath of the pandemic by providing debt relief and restructuring.

Given the substantial share of Zambia’s debt that is owned by Chinese lenders, the Paris Club needed the participation of China, which is not a member of the Paris Club. At the beginning of May, it was announced that China would co-chair the official creditor committee with France.

At the Paris negotiations, it will be determined whether Chinese and international lenders can work side by side to establish a clear debt overhaul plan. This might also pave the way for debt-restructuring talks between Chinese institutions and other countries that are in debt.

The level of cooperation that once existed between Africa and Turkey has evolved into the form of strategic alliances. The Republic of Turkey has developed partnerships with African countries in infrastructure, health, trade and investment, rural development, energy, institutional cooperation, agriculture, and small and medium enterprises.

These partnerships were developed on the basis of the “Turkey-Africa Joint Implementation Plan 2015-2019” and in accordance with the Istanbul Declaration of the First Africa-Turkey Cooperation Summit that took place on August 19, 2008.

The approach taken by Turkey incorporates aid for those in need and assistance with economic and social development. This strategy is derived from Turkey’s own history of achieving economic and social growth.