Debunking the myth of BRI's ‘debt trap’
One of the most talked about aspects of the Belt and Road Initiative (BRI) is its so-called "debt trap." Many claim that China is establishing political and economic control over developing countries by trapping them in debt through the BRI project. On the other hand, some experts think this is a myth and the claim has no basis in actual evidence. The book, The Reality and Myth of BRI's 'Debt Trap': Evidences from Asia and Africa, focuses on this debate. Edited by Nian Peng and Ming Yu Cheng, and published by Springer Nature, the book consists of 12 chapters presenting various aspects of BRI projects and country-based evidence regarding its debt trap.
The first chapter discusses the history of BRI and its main objectives. The BRI is a global development strategy launched by President Xi Jinping in 2013. Its main objective is to revive the ancient Silk Road and connect the various countries through modern rail, road, and sea routes.
The second chapter contains misconceptions of BRI's “debt trap” -- the Chinese perspective. China claims that BRI projects do not create debt traps but help developing countries prosper economically.
The third chapter analyzes the Debt Trap Theory: The Logic of Power Politics in India. This chapter explains the BRI's “debt trap” theory from India's perspective. India feels China is trying to increase its influence in South Asia through the BRI project.
The fourth chapter explains debt problems in Myanmar and BRI-CMEC. BRI and CMEC projects are analyzed in Myanmar's context. It discusses how BRI projects have created or solved debt problems.
The fifth chapter evaluates debt Management and the BRI in Cambodia. The impact and debt management aspects of BRI projects in Cambodia are discussed in detail. Cambodia sees the BRI projects as an excellent opportunity for its economic development.
The sixth chapter discusses the Laos-China Railway: Legal, Social, Economic and Environmental Perspectives. Various aspects of the Laos-China railway project were discussed. How it affects the economy of Laos and the project's environmental and social impacts are analyzed.
The seventh chapter consults on the debt trap in the Philippines. The implications of BRI projects in the Philippines and the reality of the debt trap theory are discussed. An accurate picture of BRI projects emerges from the experience of the Philippines.
The eighth chapter indicates BRI in Malaysia: Debt Trap or Development Opportunity? Analysis of BRI projects in Malaysia. Malaysia sees the BRI projects as a significant opportunity for economic development and whether these projects create a debt trap. Has been discussed.
Chapter nine designs on statement of credit management and credit risk in Indonesia debt management. Credit risk of BRI projects in Indonesia are discussed. Detailed information on BRI projects' financial impact and credit risk management is presented here.
