All that good P.R. China got for its "one belt, one road" infrastructure-building in third world countries - so much more constructive than America's military spending, see - is starting to look like something entirely different now that Kenya is about to fall to China and its very humorless bill collectors. Taiwan News is reporting.
China may be preparing to seize some major assets in the African nation of Kenya, as a result of debt-trap diplomacy. African media reports that Kenya may soon be forced to relinquish control of its largest and most lucrative port in Mombasa to Chinese control. Other assets related to the inland shipment of goods from the port, including the Inland Container Depot in Nairobi, and the Standard Gauge Railway (SGR), may also be compromised in the event of a Chinese port takeover.
Kenya has reportedly taken extremely large loans from the Communist government for the development of some major highways, and especially for the SGR, which forms a crucial transport link to and from Nairobi for the import and export of goods through Mombasa. In November, Moody’s noted that Kenya is at high risk of losing strategic assets because of debts owed to Beijing. Local media began to express concern that Chinese lenders may be angling to seize assets, since it does not appear the Kenyan government will be capable to repaying the loans.Beijing, of course, is denying it. But that was a couple days ago. And its only argument begs the question. China insists that the project, out there in deepest Kenya, will indeed make money, effectively suggesting that it won't need to expropriate the port. It doesn't say what will happen if the project doesn't make money, which is what Moody's is focusing on............ To Read More.......
My Take - Okay, this is a bad thing why? That's a good thing for the U.S. It's a terrible thing for the all the poor people in all these countries. People who just want to live their lives decently. Neither socialism or tribalism will ever provide that.
These developing countries are the very crap holes Trump talked about. They're either being run by tribal buffoon,s who only care about stealing as much money as they can while they can, or psuedo-socialists who only care about stealing as much money as they can while they can. And all that their citizens are left with is dystopia. But this is going to be the cure.
They're broke! China has loaned money it doesn't have to people who don't have the money to pay them back. If they try to take what little developed value these countries have, they'll be stuck with a pig in a poke, making both the developing countries and China more broke, not to mention the economic international reaction to such an action.
Economic collapse is going to fix all their little red wagons, and which country will every one of them have to turn to? Take a guess.
China is broken, politically, economically, philosophically and demographically, and nothing is going to fix that. But in the meanwhile, they're going to extend the pain far and wide.
There was a time when it was considered completely politically correct for a third world country to default on it's loans when the United States or European countries held those debts, and the communists/leftists/socialists of the world applauded them. It will be interesting to watch when and if these third world nations do that to China.