China’s vast investment in Africa hits a snag in Congo

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China's investment strategy of throwing money at developing countries appears to have hit a snag in the Republic of Congo as the central African nation is seeking an IMF bailout.

Felix Tshisekedi was confirmed by the Constitutional Court of the DRC as the winner of presidential elections held in that country.

But despite the recovery of oil prices, the country, also known as Congo-Brazzaville, has had trouble getting back on top of its finances and has asked the International Monetary Fund for help. Julien Marcilly, chief economist at Coface, a firm that provides payment insurance for French companies, said that China “went full-tilt on lending in recent years, often to countries which produce and export raw materials, in particular oil.”

The drop in oil prices meant the nation’s economic output dropped by 50 percent. As a consequence, its debt as a percentage of GDP soared to 110 percent in 2017.

 

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The picture you took for illustration is NOT for Congo-Brazsaville president instead it's for Congo-Kinshasa's one. Please pay attention to that when publishing stuff. Congo-Brazzaville boss is Denis Sassou Nguesso and that picture is of Felix Tshisekedi of DR-Congo.

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