From the article:
The “Belt and Road Initiative” is a vast China-centred strategy to grow global trade that involves dozens of countries and more than US$1 trillion in investment.
It spans Asia, Europe and Africa, although projects in other regions have also been named under its banner.
Supporters laud it as a bold plan to fulfil the need among emerging markets for infrastructure investment, which Beijing has promoted as a way to boost regional cooperation and connectivity.
But critics warn about a lack of transparency and sustainability with some of the projects – including major ports and high-speed railway networks. There are also concerns that Chinese companies are the sole beneficiaries of the initiative.
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What have been the results so far?
Despite the initial excitement surrounding the initiative’s announcement, construction on some projects has stalled and some countries involved now want to review the deals they originally signed with China, citing fears of unsustainable borrowing.
In December 2017, Sri Lanka was forced to lease the port of Hambantota and 15,000 acres of surrounding land to Beijing for 99 years after Colombo failed to repay the loans used in its construction.
Malaysia, Pakistan and the Maldives have since asked to renegotiate some of their China-backed projects, wary of mounting debt.
Credit rating agency Moody’s has highlighted the lack of transparency surrounding many belt and road projects and the high interest rates attached to some of them, while the Centre for Global Development has identified eight countries – including Laos, the Maldives, Djibouti, Pakistan and Mongolia – at risk of debt distress because of financing related to the initiative.
Xi moved to allay such fears in September 2018 when he told more than 50 African leaders visiting Beijing that a US$60 billion investment package did not “come with any political conditions attached”.
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