Why is it that our economic managers continue to keep the terms of China’s loans a secret?
Many countries have been victimized by China’s “debt trap diplomacy.” Malaysia’s Prime Minister Mahathir Mohamad canceled all their Chinese loans upon his election.
Unless our leaders have the wisdom and courage of Mahathir, we will join Sri Lanka, Mongolia, Venezuela, Kenya, and others in their journey to perdition.
We urgently need Congress to conduct public hearings before we fall into this debt trap.
These public hearings should cover transparent cost-benefit analyses; comparative interest rates and conditions from Japan, the International Monetary Fund, the Asian Development Bank and the World Bank; collaterals pledged to back up the loans; and lessons learned from our previous experiences with Chinese loans such as ZTE and the NorthRail Express.
DIONISIO GIL JR., jun.gil@amrop.ph