China extends debt relief to DR Congo amid COVID-19 crisis

The Democratic Republic of the Congo, a significant manufacturer of cobalt and also copper, has actually drawn in billions of bucks in financial investment from Chinese companies in recent times.

China has actually provided some financial obligation alleviation to the Democratic Republic of the Congo (DRC) to assist it get over financial results from the coronavirus pandemic, the Congolese international ministry claimed on Wednesday.

As an outcome, the DRC will certainly not need to settle its interest-free financings from China that grew at the end of 2020. The ministry did not state just how much this totaled up to.

China has actually expanded financial obligation alleviation well worth over $2bn to creating nations under a Group of 20 (G20) structure targeted at providing those hammered by the COVID-19 dilemma some monetary breathing time.

The most recent offer was revealed at a joint interview in Kinshasa with Chinese Foreign Minister Wang Yi.

“As Congo’s most reliable friend, China wishes to continue to make its contribution to Congo’s development,” Wang was estimated as claiming in the Congolese ministry’s declaration.

According to information collected by Johns Hopkins University’s China Africa Research Initiative, Chinese entities have actually expanded 53 financings to the Democratic Republic of the Congo in between 2000 and also 2018, totaling up to a total amount of $2.4bn. Most of the borrowing was concentrated on the power, transportation and also mining fields.

The significant cobalt and also copper manufacturer has actually drawn in billions of bucks in financial investment from Chinese miners in recent times.

Congo’s exports to China rose 30 percent in 2020 compared to the previous year.