Exclusive | China aims to address ‘debt trap’ criticism at second Belt and Road Forum
- Beijing seeks to resolve growing concerns about its global infrastructure push in a communique that 37 world leaders will consider on Saturday
- Greater emphasis said to be placed on projects’ financial and environmental sustainability
China is working to address mounting concern that its ambitious infrastructure drive creates debt traps for participating countries, according to people involved drafting a joint communique to be considered by world leaders at the Belt and Road Forum in Beijing this week.
President Xi Jinping’s multibillion-dollar “Belt and Road Initiative”, which aims to link China with Asia and Europe through ports, roads, airports, pipelines and other infrastructure projects, has also raised worries about what critics have called a lack of transparency related to project development, land requisition, debt pricing and other contractual issues.
An official of another country told the South China Morning Post that Beijing had noted the concerns and would address them in the communique that the 37 leaders were expected to approve at the end of the forum on Saturday.
Language related to debt sustainability, transparency and the rule of law would be included in the document, according to a person involved in drafting the document, which has not been made public.
The joint communique would put greater emphasis on the infrastructure projects’ financial and environmental sustainability than that contained in the inaugural summit statement two years ago, according to a third person who has seen the draft document.
