We know that territorial colonialism has ended. But a new colonialism of a more insidious and pervasive kind - economic colonization through global market integration is flourishing.
The opening up of the economies of developing countries is a significant move toward a borderless world economy that is the dream of economic colonists.
There is so much growing economic exploitation, tension and polarization caused by our desires to become rich and powerful, and the desires of the developed countries to dominate the economy of the developing countries. The developed countries continue to export the dream that developing countries in Africa and some part of Asia can grow to be affluent like America China, Japan, UAE, UK, Canada to mention a few. Developing countries are buying this dream -but it is only a dream.
WAKE-UP CALL TO AFRICA'S LEADERS
------ China is using debt to colonize poor countries in Africa.------
In the bid by China to become the world power. It embarked on a project call belt and road initiative. A project which focused on connecting Asia with Africa and Europe through road and maritime network. For more information on that Google is your friend, that not my focus here. With this initiative China is lending a huge amount of money to countries and knowing that these countries can't pay back, China is leveraging on this to snatch asset and increase its military footprint.
An example is Sir Lanka handed over a port to China on a 99-year lease, another is Djibouti is also likely to cede control of a port terminal to China. There have been credible reports of talks between the Zambian government and China on handing over the country's national electricity company, ZESCO to the Chinese due to the inability of Zambia to meet its loan repayment promises.
This is expected as China is already in control of the country's broadcasting company, ZNBC. There are also fears the main airport in Lusaka could be the next target. Obliviously, Zambia is in trouble. And for other African beneficiaries of Chinese loans, this is just China warming up.
Debt Acceleration was the play all along China is smart and deliberate about its policy on Africa. It understands the development deficit of the continent and is strategically using it to keep Africa's economic future under its arms.
Africa has what China needs to further propel its economy, specifically crude oil and copper. The best way to ensure an abundant supply of these in the future would be to make the depository countries owe it, which it has excellently done so far.
The play is simple. Give staggering loans to corrupt leaders and keep the details of repayment from the public. Eventually, if debtors are unable to service their debt, take over their collaterals - which as the world is now seeing, are mostly national assets. But this does not comprehend the severity of the situation Africa finds itself.
Reports show that a substantial number of Africa countries has taken Chinese loans since 2000 totalling a whopping $124 billion in 2016. Of course, there have been more after that. But Africa is only a victim of its own neglect as the world had severally warned of China's end goal.
Just last month, the International Monetary Fund (IMF) and the US advised African leaders of the bad intentions of Chinese loans, which is a core of the Belt and Road Initiative developed by Xi Jinping in 2013. However, the greed of African leaders would not allow them to heed.
Africa has bought the play really good. Nearly all major economies in sub-Saharan Africa today are massively indebted to China. What makes this worse is that most of them have poor economic projections for the next few years and will almost certainly have problems servicing their debts.
For instance, around 72% of Kenya's $50 billion bilateral debts are owed to China with the East African country requesting an additional $3.8 billion extension. Nigeria also recently accrued $5 billion in loans from China and Angola is owing to some $21.2 billion with a proposal for another $4.4 billion.
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