Although China is one of the biggest creditors to many African countries, its lending has decreased recently. Source: FacebookThe COVID-19 outbreak and Russia's invasion of Ukraine had a negative economic impact, making it harder for many African countries to pay down their national debt. Due to the extent of Chinese lending, the World Bank noted that seven African nations were either in debt distress or at risk of debt distress. FX Pesa lead market analyst Rufas Kamau noted that most African countries, including Kenya, had United States (US) dollar-denominated loans. African countries with the highest Chinese debt1.

Source: Daily Nation May 04, 2024 04:28 UTC