It’s jaw-droppingly astonishing to see a US diplomat complain about anyone else debt-trapping less-developed countries:
A senior US diplomat launched a verbal barrage at Beijing’s economic presence in Pakistan, claiming the massive investment brought nothing but corruption and a legacy of debt. China hit back saying IMF loans were a worse burden.
A senior American diplomat in South and Central Asia mounted harsh criticism of the China Pakistan Economic Corridor (CPEC) project, an ambitious plan to turn Pakistan into a major trade route connecting China directly with the Arabian Sea. Speaking at the Woodrow Wilson Center, Assistant Secretary of State Alice Wells said the multibillion-dollar project, which China touts as a model of cooperation with other nations in its ambitious Belt and Road Initiative, was riddled with corruption and only hurt the Pakistani people.
“Together with non-CPEC Chinese debt payment, China is going to take a growing toll on Pakistan’s economy, especially when the bulk of payment starts to come due in the next four to six years,” the US diplomat said. She added that a “lack of transparency” would boost the cost of the projects and result in an even heavier debt burden.
All China is doing is precisely what the USA, through the IMF, has been doing since 1945. Apparently it is bad to be in debt to Chinese bankers, but good to be in debt to US bankers.