Tanzanian President tells China what to do with their $10 billion port loan

Is Magufuli a demigod or the general African leadership has started stepping up to Chinese Killer loans? Let’s digest it. A few years back, African leaders developed a sudden inexplicable craze for Chinese killer loans with terms and conditions that beats logic.
They sign Chinese loan agreements that they know very well they cannot pay back within the agreed time frame but mostly proceed with the loans just for the kickbacks attached and the benefits some individual politicians stand to get from such contracts to the detriment of the development of their respective nations. In most cases, the defaulted loans lead to the seizure of major facilities to make-up for the amount involved.
Following a series of constructive criticisms by reputable organizations and general outcry by concerned African citizens about the dire consequences of these killer loans on the continent, some of the leaders seem to be taking certain commendable actions to save their dying reputations.
The Chinese investors initially agreed with the erstwhile Tanzanian administration to build the said port on condition that, they will be granted a 30years guarantee, 99years uninterrupted lease with an attached outrageous demand that, the Tanzanian government will have absolutely no power to raise concerns on whoever invests in the port during the period stated.
This sounds very ridiculous, but it was actually signed by a certain government which raises the question of whether our lead negotiators read and understand agreements before appending their signatures. In the words of Magufuli, the above terms and conditions could only be accepted by mad people. in effect, He initiated a renegotiation with the investors to bring down the lease period to 33 instead of the initial 99 years negotiated.
He was quoted to have said that: «it is uneconomical to proceed with the construction of the new airport when the existing one is grossly underutilized».
Additionally, there have been several other resistances to Chinese backed contracts in Africa. The cancellation of a USD2 billion coal plant contract in Kenya, among few others, are typical examples of the growing awareness.
Does this imply that there are no countries in Africa that are still taking these killer Chinese loans? No! some countries still sign such agreements, mostly at the blind side of the public and the consequences will soon be seen.

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