Monday, January 18, 2021

Sri-Lanka Again Turns To Beijing For Money But China Stuns India With A New Strategy For Colombo?

China has granted a $90 million in aid to the debt-strapped island nation of Sri Lanka for the purpose of ‘medical care, education, water supplies’. This has come at a time when Beijing has attained a negative image over its ‘debt trap’ strategy aimed at gaining influence in the region.

Russia Turning Its Su-34 Bombers Into Dogfighters Similar To F-22 Raptors, Dassault Rafales

Following a visit by the Chinese delegation, led by former foreign minister Yang Jiechi on the request of Sri Lankan President Gotabaya Rajapaksa, Beijing decided to help out its strategic neighbour. 

Reportedly, the grant is a way to disprove China’s image of investing huge sums of money in mega projects through its Belt and Road Initiative (BRI) to later gain control over its strategic partners by piling debt obligations on them. 

CHINA

“Many geopolitical analyses interpret this project as a ‘debt trap’ set up by China to gain control over Sri Lankan affairs. I want to prove that it is not the case and that this large-scale project will help improve the living standards of the people. Assist us in this endeavour,” Rajapaksa told the Chinese delegation, according to a statement released by his office.

Nivard Cabraal, minister of money and capital market and state enterprise reforms talking to Nikkei Asia said: “If we have to go and hold the International Monetary Fund’s (IMF’s) hand — or if the IMF has to hold our hand — that, I think, is a danger signal.” “We know we have to get our debt situation under control. Do we need the IMF to say that? No.”


Australian Police Goes ‘Hi-Tech’ With Latest Drones Capable Of Carrying Forensic Crash Investigations


Earlier, Sri Lanka had relied heavily on China to construct $1.5 billion port in Hambantota in the country’s south. After the port was operating at a loss and couldn’t generate enough revenue to repay the loan to Beijing, the port was leased to China for 99 years in return for $1.1 billion which eased its position.

Pakistan On Verge Of Losing Strategic ‘Twin Islands’ To China Under ‘Debt-Trap’ CPEC Project?

According to the estimates by the IMF, Sri Lanka’s net government borrowing, which combines the fiscal deficits of the central and regional governments, will rise to 9.4% of the gross domestic product in 2020, up sharply from last year’s 6.8%, due to the economic impact of the epidemic.

Featured

UK, Germany, France Warn Iran Against Starting Work On Nuclear Program

Tensions between Iran and the EU nations including the UK, Germany and France have reached a fever pitch over Tehran’s decision to accelerate nuclear...

Afghan President Ashraf Ghani Condemns Attack On Female Judges; Urges Taliban To End Violence

Afghan President Ashraf Ghani in a statement said the terrorist attack and continued violence is contrary to Islamic guidance and urged the Taliban to...

Why Pakistan Keeps Calling India’s Ruling Party BJP’s Parent Body RSS A Terror Group?

Pakistan has urged the United Nations Security Council to designate India’s Rashtriya Swayamsevak Sangh (RSS) -- the parent organization of the ruling Bharatiya Janata...

Why China’s Dream Of Establishing Overseas Military Base In At-Least 12 Nations Could Soon Turn Into A Nightmare? 

Contrary to the apprehensions of the US Department of Defense that China is wooing 12 countries to make them agree to host its military...

Tejas vs Sukhoi: Why India’s LCA Tejas Is ‘Definitely Better’ Than Russian Su-30 MKI Jets? Expert Analysis

As India takes a great leap forward with a mega deal on home-grown Tejas Light Combat Aircraft (LCA), the question is how would they...