China is colluding with India's neighbors on the basis of money, now giving relief to Bangladesh in debt.
There have been many changes in India's neighboring countries in the last year. Countries like Maldives, Sri Lanka, and Bangladesh have seen political upheaval and China is constantly trying to take advantage of this. China has strengthened its hold in many countries due to its loan policy. After taking Pakistan into its clutches, China is now keeping an eye on Bangladesh.
On the other hand, Bangladesh is also trying its best to find a replacement for India. Bangladesh's foreign advisor Touhid Hussain is on a visit to China and one of the important issues in his visit is to extend the loan repayment period from China. According to a report in The Daily Star, China has also agreed to this.
China agreed to extend the payment deadline and reduce the interest rate.
Beijing agreed to extend the deadline for repayment of Chinese loans and assured Dhaka that it would consider Bangladesh's request to reduce interest rates to ease the pressure on foreign debt repayment.
China is Bangladesh's fourth-largest lender after Japan, the World Bank, and the Asian Development Bank, with loans totalling $7.5 billion since 1975.
🇧🇩 🇨🇳 #Bangladesh foreign adviser Md Touhid Hossain met #China foreign minister Wang Yi in #Beijing today. This is the first foreign minister level bilateral meeting of Bangladesh since #interim #government led by @ChiefAdviserGoB assumed office last August. 📸 @BDMOFA pic.twitter.com/D0z76PSebd
— Raheed Ejaz (@RaheedEjaz) January 21, 2025
In the meeting, Hussain has demanded that the interest rate be reduced from 2-3 percent to 1 percent and requested that the loan repayment period be increased from 20 years to 30 years, considering the good repayment record. According to reports, the Chinese have responded positively to both the demands.
They have taken over Bangladesh's port by giving loans
Giving loans to small countries is nothing new for China. Trapping countries in the trap of its loans has been a long-standing part of China's policy. China has also given a large loan to Sri Lanka and after failing to pay, it has taken over Sri Lanka's Hambantota port. China's presence at Hambantota port is a big threat to India.
China has stationed its naval surveillance and reconnaissance ships in Hambantota. In the last two years, Beijing has deployed its 25,000-ton satellite and ballistic missile tracking ship Yuan Wang 5 in Hambantota on several occasions, which is detrimental to India's interests due to Sri Lanka's proximity to India. However, after India's concerns, Sri Lanka has assured that it will not allow its land to be used against India.