By Max Nathanson
From the article:
Over the past decade, the U.S. has lost influence in Latin America. One of the reasons for declining U.S. weight in the region is infrastructure. Latin American countries want to build large infrastructure and energy projects, and China is willing to finance them.
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However, researchers at the Center for Global Development have found that recipients of Chinese infrastructure finance are often at risk of serious debt distress that can hamstring fiscal sovereignty. It is precisely these economic mechanisms that allow China to build political partnerships based on the need to continue financing for their debt obligations.
Read the full article here.
