China says its loans only 10% of SL’s foreign debts

18 October 2018 08:41 pm

While reiterating that China was not dragging Sri Lanka into a debt trap, Chinese Foreign Ministry Spokesperson Lu Kang said Chinese loans only accounted for around 10% of Sri Lanka's foreign debts by 2017.

Mr. Lu expressed these in response to a question asked at the Ministry’s Regular Press Conference on Wednesday.

When asked about the allegations levelled by the US that China is using "debt diplomacy" to expand its influence worldwide, he said Sri Lanka has been a case repeatedly played up by some foreign media recently.

“But by 2017, Chinese loans only accounted for around 10% of Sri Lanka's foreign debts; China's loans to the Philippines made up only less than 1% of its foreign debts. Sri Lanka's Ambassador to China clearly said that the allegation of the Chinese government dragging his country into "debt traps" is entirely wrong. And recently the Finance Secretary of Pakistan also refuted US remarks that the CPEC has caused Pakistan's debt crisis. I believe these countries have the best say over these issues,” he said.