STUTTGART (dpa-AFX) – With a view to the extensive granting of Chinese loans to poorer countries, especially in Africa, Chancellor Olaf Scholz warns of a global economic and financial crisis. Germany coordinates with western creditor countries that are members of the so-called Paris Club and provides information about lending in order not to repeat previous mistakes. “One of the very, very big ambitions that we are pursuing is to include China as a country that is giving out many loans in a new way,” said Scholz on Friday at the Catholic Day in Stuttgart.
There is a “really serious risk that the next major debt crisis in the Global South will come from loans that China has issued worldwide and does not have an overview of itself because there are so many players involved,” warned the Chancellor. “That would then plunge both China and the global South into a major economic and financial crisis, and incidentally would not leave the rest of the world untouched.” It is a serious concern to change this, said Scholz.
The Chancellor mentioned the “Global Gateway” strategy as one of the European initiatives. The European Union wants to catch up with it and provide around 150 billion euros for infrastructure projects in Africa./mov/cd/DP/ngu
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