China revamping Belt and Road Initiative: Report
China is revamping the Belt and Road Initiative, which has pumped billions of dollars in grants and loans into developing countries over the last ten years. This comes as the country attempts to rein in the risks that plagued its earlier investments, according to a new report released on Monday, The Hill reported.
China has shifted its attention to reducing the risk of not being repaid, its exposure to environmental, social, or governance (ESG) factors, and potential damage to its reputation in the developing world, the report from AidData, a research lab at William & Mary, found.
The report said: "Beijing has launched a far-reaching effort to de-risk the (Belt and Road Initiative) by refocusing its time, money, and attention on distressed borrowers, troubled projects, and sources of public backlash in the Global South."
«It is learning from its mistakes and becoming an increasingly adept international crisis manager,» it added.
With more than half of its loans now in repayment, China is facing the fallout from the lack of guardrails in place at the outset of its Belt and Road Initiative.
