Soon, countries will owe Beijing a lot more money
Mihir Sharma | 19 Jul 2019 00:30
China isn’t just the world’s largest exporter of goods; it’s now the world’s largest exporter of capital, too. Of course, these two facts are linked.
China earns so much from being the world’s factory, and the spending of its households is so constrained, that it needs to find somewhere to park the difference.
That’s the basic imbalance underlying the Belt and Road Initiative (BRI), China’s big push into the developing world.
Many analysts - including senior US officials - have long worried about the terms on which China parts with slivers of its giant pile of capital.
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