Skip to content
Government and Policy

The Chinese Province: Why Kenya Needs to Be Very Careful

BY Juma · June 21, 2019 06:06 am

President John Pombe Magufuli of Tanzania rejected a deal that had been signed between his country and China over what he termed as unrealistic and unreasonable terms and conditions.

According to Magufuli, even a man who is insane would not agree with the terms that the Chinese government had laid out before granting a loan.

The Chinese government was to set up a port in Bagamoyo at a cost of 1 trillion Tanzanian shillings but the President said NO. The deal was signed in 2013 by the then President Jakaya Mrisho Kikwete.

As Tanzania seems to have realized the real intentions of the Chinese, Kenya continues to go deeply in bed with ever ballooning loans from China.

Currently, China is the largest lender to Kenya, accounting for at least 70 percent of all the money Kenya owes creditors.

For instance, China’s loans to Kenya between 2014 and 2018 tripled to 398.32 billion shillings from 222.27 billion shillings in December 2014 accounting for 99.57 billion shillings a year during the period.

In December 2018, Kenya’s total bilateral debt for the year was 878.45 billion shillings. China accounted for 70.71 percent of the debt meaning for every 100 shillings Kenya borrowed, 70 shillings came from China.

In paying the loans, in 2028, China accounted for every 23 shillings of every 100 shillings the country owed foreign creditors.

Interesting to note is that the agreements signed by the government of Kenya and the Chinese government have remained top secret. President Uhuru Kenyatta promised to make the contract public but went mute ever since.

Word has it that the Port of Mombasa was offered as collateral in the event that Kenya failed or delayed to repay the first loan that was taken from Exim Bank of China for the construction of the Standard Gauge Railway (SGR) from Mombasa to Nairobi.

China seems to be on a mission to colonize most African countries by heaping debts on them that will span for centuries before being fully paid.

Already the Chinese language has been rolled out in schools in Uganda as part of a requirement for Uganda to receive a loan from China.

Kenya already has thousands of Chinese nationals, both documented and undocumented. Some carrying out the most best business like selling secondhand clothes at Gikomba.

If Kenya will not be careful, Kenya will be part of the Chinese Province.

Juma is an enthusiastic journalist who believes that journalism has power to change the world either negatively or positively depending on how one uses it.(020) 528 0222 or Email: info@sokodirectory.com

Trending Stories
Related Articles
Explore Soko Directory
Soko Directory Archives