8/5/2018

CHINA/INFRASTRUCTURE/SENATE/TRUMP AS PRESIDENT/TRUMP PEOPLE: “Several U.S. senators are pressing the Trump administration to detail what it is doing to deal with Beijing’s financing of international infrastructure projects that have left many countries indebted to China and potentially in need of bailouts. In a letter to Treasury Secretary Steven Mnuchin and Secretary of State Mike Pompeo, the senators asked officials how they will push the International Monetary Fund to address problems arising from China’s global investment plan, the ‘Belt and Road Initiative.’ About 70 countries are hosting projects funded under China’s plan, with many of them in deep debt distress. Sri Lanka has already asked for an IMF bailout, and Pakistan is expected to request one this fall after indebtedness stemming in part from a $62 billion project to upgrade Pakistan’s infrastructure, including projects like a $2 billion air-conditioned subway system…China’s massive ‘Belt and Road Initiative,’ which is intended to fund infrastructure projects like superhighways, railroads, harbors and airports, has been a growing source of concern in Washington. Congress fears that China is using the projects in a bid to project global dominance.”

Siobhan Hughes and Josh Zumbrun, “Senators Signal Concerns Over China’s Global Investments,” The Wall Street Journal, August 5, 2018 8:58 pm