CHINA FREEZES DEBT PAYMENT

IN A goodwill gesture that has earned the praises of poor countries, China said it has decided to freeze payment of loans it has extended to 77 nations adversely affected by the COVID-19 pandemic.

At a press conference in Beijing last June 7, 2020, Chinese Vice Foreign Minister Ma Zhaoxu announced the measure, the first among the ‘Group of 20’ (G20) member-countries to do so.

In the ‘White Paper’ released on the same day by China’s ‘State Council,’ it was stated that the gesture was meant to implement China’s agreement to the decision of the leaders of the G20 for suspension of debt payments by poor countries.

(See link to the full text of China’s White paper below).

Last March 26, the G20 held an ‘Extraordinary Leaders Summit Meeting’ to coordinate global response to the COVID-19 pandemic, which at the time is already causing havoc in the global economy.

On April 15, the G20 released a statement saying its members agreed to a “time-bound debt service payments for the poorest countries” and listed the requirements on how to avail of the facility.

Although it was not yet clear if the Philippines is among those to benefit from China’s debt-freeze initiative, what was clear was that countries in Africa would be among the beneficiaries, as affirmed by Pres. Xi Jinping at an ‘Extraordinary China-Africa Summit Meeting’ last June 18, which he presided.

In attendance during the meeting held via ‘video teleconferencing’ were UN Secretary General Antonio Guterres, WHO Secretary General Tedros Adhanom Ghebreyesus and the leaders of the African Union.

Aside from debt relief, Pres. Xi, last May 18, said it would be providing US$ 2 billion to poor countries spread over two years to help them fight the pandemic.

Pres. Xi made the announcement at the 73rd World Health Assembly, the UN body that governs WHO.

At this meeting, Pres. Xi also assured that China would share the vaccine it is currently developing “as a global public product.”

At the State Council (equivalent to China’s Cabinet) meeting, it was also noted that China provided the WHO with US$ 50 million cash assistance while also raising money inside China in support of the WHO’s ‘Solidarity Response Fund.’

From March 1 to May 31, China exported protective materials to 200 countries and regions, among which there were more than 70.6 billion masks, 340 million protective suits, 115 million pairs of goggles, 96,700 ventilators, 225 million test kits, and 40.29 million infrared thermometers, while providing for its own domestic needs.

Aside from this, China had sent 29 medical expert teams to 27 countries, and offered assistance to 150 countries and 4 international organizations.

China also instructed its medical teams stationed in 56 countries to support the local fight, and provide counseling and health information to local people and overseas Chinese.

Inside China, the White Paper also noted that the Chinese government has provided “undifferentiated and timely treatment” to foreigners who fell victim to the disease.

READ FULL TEXT OF WHITE PAPER HERE

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