Tag: debts

How China eats the World
Opinion

How China eats the World

China’s economic miracle, of the last 15-20 years, built on the back of debt and liquidity, and investing for an export driven economy have defined commodity prices, and global geopolitics. As per some estimates, China's total debt in the 21st century tops 300% of its GDP, and at an estimated US$40 trillion accounts for 15% of all global debt.But arguably, between the year 2006 and 2019, the export miracle never really materialized with net exports accounting for only about 2% of the total rise in Gross Domestic Product (GDP).However, there is yet another aspect of the China story which is not as appreciated as one believes it should be - Chinese investments in other countries, a strategy that appears to be driven by foreign policy, than economic considerations. As per data compiled by the