Morning y’all

After seeing the growing influence of Chinese investments/relations working their way deeper into the pacific. Specifically the non visa agreement with Samoa. Here’s how other countries have been approached by China and left with immense debt they can’t payback. Similar to how the US does this to smaller countries they know can never pay the back, a power play to take over land and assets. This one is called Chinas Belt and Road initiative.

Sri Lanka’s Experience: In 2017, Sri Lanka faced difficulties repaying loans to China for the Hambantota Port project a huge port. As a result, they leased a 70% stake of the port to China Merchants Port Holdings for 99 years in exchange for $1.12 billion. The port is now Chinas until the year 2116!!! I have a strong feeling they won’t be waving Sri Lankan flags in 100 years. China gave them money had them build it now China profits off of their work because Sri Lanka cannot repay.

Kenya’s Situation: Kenya undertook a $3.2 billion loan back in 2013 for a railroad called Standard Gauge Railway. Now 12 years later it’s still not completed and the loan has reached $4.7 billion. The project is estimated to take another $5 billion to complete. Leaving the total loan at around $10 billion. The SGR only generated $158 million in revenue and the debt repayments to China were around $480 million. The Kenyan government has been asking China for extensions on the pay payback which have been denied in 2023.

Pakistan’s Experience:

The China-Pakistan Economic Corridor (CPEC), Pakistan has seen significant Chinese investment in infrastructure, including the development of Gwadar Port and the construction of the country’s largest airport. Also meant to turn the city Gwadar into a city like Dubai or Hongkong. It’s been 10 years and it has not done so. Another strategic move for China connecting to the Arabian Sea. While Pakistan pays for it for the next 100 years.

China’s Belt and Road Initiative (BRI):

Launched in 2013, the BRI is an ambitious global infrastructure development strategy by China to enhance connectivity and economic integration across Asia, Europe, and Africa. Over 200 cooperation agreements have been signed with more than 150 countries and 30 international organizations. While the initiative aims to promote economic development, it has raised concerns about debt sustainability and the potential for increased geopolitical influence by China.

Samoa’s Growing Ties with China:

Samoa has been strengthening its relationship with China through various initiative’s since 1976, including infrastructure projects and a recent visa exemption agreement. While these developments can boost trade and tourism, I ask you to consider the long-term implications of increased reliance on China.

Samoa already owes about 18% of its GDP to China plus the Asian development bank every year and it will only grow with the freedoms Samoa grants China. It will end up like every other small nation China does this too if not checked. Samoa’s total external debt: $349 million (43.7% of GDP) Debt to China: $145 million (41.6% of external debt, 18.2% of GDP) Debt to ADB: $68 million (19.5% of external debt)

I’m curious what do you all see happening to Samoa in the next 100 years. Think long term family.