#LEBANON: Lawmakers Spend World Bank Loan On Wheat

[world politics news]

 

Lebanese lawmakers hav voted to use a $150 million World Bank loan to pay for wheat imports into the cash-strapped country.

Already in the throes of a crippling economic crisis, Lebanon is also struggling to cope with a food security crisis that has left half its roughly 6 million people without adequate food.

[FULL STORY HERE]

World Politics News is dedicated to raising Americans' knowledge of political events, elections, and legislation throughout the world.

#KENYA: Officials Say China Can't Seize Port If It Defaults On Debts

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Authorities in Kenya have allayed fears that China will seize the Port of Mombasa if the country defaults on loans procured to finance the loss-making Standard Gauge Railway (SGR). 

The project is part of China's worldwide "Belt and Road Initiative," meant to facilitate World trade, and some say, to entrap poor Nations in debt and seize their assets when they inevitably cannot pay to loans back.

Many have speculated that China could seize the valuable Mombasa port if the country fails to make payments.

But National Treasury cabinet secretary Ukur Yatani said Kenya did not offer the strategic national asset as collateral for the $3.2 billion loan sourced from the Export Import Bank of China to finance the project.

“The port of Mombasa has no adverse exposure to any lender or category of lenders through existing loan agreements with the government,” said Yatani.

[FULL STORY HERE]

World Politics News is dedicated to raising Americans' knowledge of political events, elections, and legislation throughout the world.

#GEORGIA: European Parliament Approves 3 Billion Euro Loan To Deal With COVID-19

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The European Parliament has approved €3 billion in loans to help EU neighbors and partner countries deal with the coronavirus. The loans will help avert financial instability in beneficiary countries.

[FULL STORY HERE]

World Politics News is dedicated to raising Americans' knowledge of political events, elections, and legislation throughout the world.

#TANZANIA: Pres. Magufuli Cancels $10billion Chinese Loan

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Pres. John Magufuli has cancelled a Chinese loan worth $10 billion saying that the terms of the Chinese loan agreement could only be accepted by a drunken man.

The loan had been signed by his predecessor Jakaya Kikwete to construct a port at Mbegani creek in Bagamoyo. The move is indicative of original African rethink of loans from China which came with restrictive terms.

[FULL STORY HERE]

World Politics News is dedicated to raising Americans' knowledge of political events, elections, and legislation throughout the world.

#MOLDOVA: Opposition Party Raises Concerns Over Russian Loan

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The opposition Pro Moldova parliamentary group appealed to the Constitutional Court on Thursday over the legality of a 200-million-euro loan from Russia, urging the judges to give a verdict urgently, as parliament was about to ratify the agreement.

[FULL STORY HERE]

World Politics News is dedicated to raising Americans' knowledge of political events, elections, and legislation throughout the world.

#UK: Banks Will Forgo Mortgage And Loan Payments For Coronavirus Sufferers

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UK banks including Royal Bank of Scotland, Lloyds and TSB are to offer repayment holidays on mortgages and loans, as part of relief measures for customers affected by the coronavirus outbreak.

The moves are part of efforts by UK banks to stem a potential tide of defaults if customers become ill, have to self-isolate or lose pay from employers and clients as the virus continues to spread.

The announcement from the UK lenders came after Italy declared it was suspending all mortgage repayments across the nation, following extended emergency measures that placed the entire country under lockdown.

[FULL STORY HERE]

World Politics News is dedicated to raising Americans' knowledge of political events, elections, and legislation throughout the world.

#UGANDA: Finance Min. Says China Won't Seize National Assets Over Debt Repayment Concerns

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China will not take over Uganda's assets because of failure to pay back loans, Finance minister Matia Kasaija has said.

Kasaija says Ugandans shouldn't be worried because all the money owed to China shall be serviced thanks to the government's smart investment decisions. Uganda owes China $1.6 billion. Kasaija said Uganda's economy is growing at a fast pace, adding that unless there is a catastrophe, nothing will stop Uganda from servicing the Chinese loans.

A June 2018 report showed public debt amounted to $10.7 billion, 41.5% of the country's GDP. The international standard is 50% or higher.

Last year, China took over Sri Lanka's port for 99 years over failure to service loans. There are reports that China may take over Zambia's airport and national power distributor, and Kenya's Mombasa port, due to these countries' failure to service their loans.

[FULL STORY HERE]

World Politics News is dedicated to raising Americans' knowledge of political events, elections, and legislation throughout the world.

#RUSSIA: Loyalty Of The Kremlin To Venezuela May Last As Long As Debt Payments Continue; And They Might Not

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How seriously should the US take Russian determination to stand by Venezuelan strongman Maduro? Perhaps not very strongly. Their loyalty may last as long as they continue to make payments on Russian loans.

Reports are circulating that Russia expects Venezuela to make its next scheduled debt repayment to Moscow on schedule at the end of March. Venezuela has sunk into economic and political turmoil under Maduro, with inflation seen rising to 10 million percent this year, leading to food shortages, protests and mass emigration.

The opposition disputes the legitimacy of Maduro's re-election to a second term last year, and opposition leader Juan Guaido, 35, proclaimed himself interim president this month. The US, along with Canada and several neighboring Central and South American nations, have recognized Guaido as Venezuela's rightful leader, while Russia has continued to back Maduro.

When asked if the new Venezuela may have trouble making payments on Russia's loans, Deputy Finance Minister Sergei Storchak said  "There will probably be problems. Everything now depends on the army, on the soldiers and how faithful they will be to their duty and oath. It is difficult, impossible to give a different assessment."

For its part, the Russian Finance Ministry issued a separate statement saying it still expected the next payment to be made on time.

[FULL STORY HERE]

World Politics News is dedicated to raising Americans' knowledge of political events, elections, and legislation throughout the world.

#ARGENTINA: Court Set To Rule Whether Pres. Macri Had The Right To Seek IMF Loan To Stabilize Economy

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Argentina's President Mauricio Macri has been accused of 'abuse of power' over a loan from the International Monetary Fund (IMF.) A federal judge will decide if President Macri's administration had the authority to request the IMF loan. Argentina has been plagued by economic instability that threatens to spillover into the political arena.

[FULL STORY HERE]

World Politics News is dedicated to raising Americans' knowledge of political events, elections, and legislation throughout the world.

#CHINA: Gov't Urges Banks to Increase Loan Activity To Continue Recovery

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The National Development and Reform Commission - China's top planning authority - has pledged to adopt more proactive measures to expand investment in order to sustain the economic recovery. The government says it will actively encourage commercial banks to issue credit and attract investment from the private sectors.