One of the most talked about aspects of the Belt and Road Initiative (BRI) is its so-called “debt trap.” Many claim that China is establishing political and economic control over developing countries by trapping them in debt through the BRI project. On the other hand, some experts think this is a myth and the claim has no basis in actual evidence. The book, The Reality and Myth of BRI’s ‘Debt Trap’: Evidences from Asia and Africa, focuses on this debate. Edited by Nian Peng and Ming Yu Cheng, and published by Springer Nature, the book consists of 12 chapters presenting various aspects of BRI projects and country-based evidence regarding its debt trap. 

▲The title page of RCAS new book on BRI.

The first chapter discusses the history of BRI and its main objectives. The BRI is a global development strategy launched by President Xi Jinping in 2013. Its main objective is to revive the ancient Silk Road and connect the various countries through modern rail, road, and sea routes. 

The second chapter contains misconceptions of BRI’s “debt trap”-the Chinese perspective. China claims that BRI projects do not create debt traps but help developing countries prosper economically.

The third chapter analyzes the Debt Trap Theory: The Logic of Power Politics in India. This chapter explains the BRI’s “debt trap” theory from India’s perspective. India feels China is trying to increase its influence in South Asia through the BRI project.

The fourth chapter explains debt problems in Myanmar and BRI-CMEC. BRI and CMEC projects are analyzed in Myanmar’s context. It discusses how BRI projects have created or solved debt problems.

The fifth chapter evaluates debt Management and the BRI in Cambodia. The impact and debt management aspects of BRI projects in Cambodia are discussed in detail. Cambodia sees the BRI projects as an excellent opportunity for its economic development.

The sixth chapter discusses the Laos-China Railway: Legal, Social, Economic and Environmental Perspectives. Various aspects of the Laos-China railway project were discussed. How it affects the economy of Laos and the project’s environmental and social impacts are analyzed.

The seventh chapter consults on the debt trap in the Philippines. The implications of BRI projects in the Philippines and the reality of the debt trap theory are discussed. An accurate picture of BRI projects emerges from the experience of the Philippines.

The eighth chapter indicates BRI in Malaysia: Debt Trap or Development Opportunity? Analysis of BRI projects in Malaysia. Malaysia sees the BRI projects as a significant opportunity for economic development and whether these projects create a debt trap. Has been discussed.

Chapter nine designs on statement of credit management and credit risk in Indonesia debt management. Credit risk of BRI projects in Indonesia are discussed. Detailed information on BRI projects’ financial impact and credit risk management is presented here.

Chapter ten discusses Bangladesh’s debt management and BRI impact. It analyzes the debt management aspects of BRI projects in Bangladesh. It also discusses how BRI projects are helping Bangladesh’s infrastructural development and Bangladesh’s strategy to address the debt problem. 

Chapter eleven illustrates the reality and myths of BRI’s “debt trap”-evidence from Nepal. The reality and myth of the concept of the “debt trap” of BRI projects in the case of Nepal are discussed. How BRI projects are implemented in Nepal and the resulting financial impact is analyzed.

Finally, chapter twelve interprets China came, China made: Economic implications of SGR development in the context of the BRI in Africa. The impact of BRI projects in Africa is discussed. In particular, the economic impact of the Standard Gauge Railway (SGR) project and its role in Africa’s development are analyzed.

BRI projects mainly work as a facilitator for infrastructure development in developing countries. China is implementing railway, road, port, and other infrastructure development projects in various countries through these projects. The main objective of BRI projects is to increase trade connectivity and accelerate financial development. However, allegations of a “debt trap” arose against BRI projects. Critics say China deliberately lends large sums of debt to developing countries and seizes the country’s vital assets when they default. Various studies and evidence are presented in this book to support these allegations.

The infrastructure of various countries is being improved through BRI projects. New railways, roads, ports, and other infrastructure are being built, which help the economic development of countries. Trade connectivity between countries is increasing through BRI projects. As a result, the country’s economy is becoming dynamic, and international trade opportunities are increasing. The economic development of countries is being accelerated through BRI projects. New job opportunities are being created, and people’s incomes are increasing.

The debt burden on the country is increasing through BRI projects. Many countries have trouble repaying these debts and suffer from economic crises. China’s political influence is increasing through BRI projects. China’s control over developing countries is increasing, and their independence is diminishing. BRI projects are hurting the environment. Creating new infrastructure is causing deforestation, water pollution, and other environmental problems.

The book, The Reality and Myth of BRI’s “Debt Trap”: Evidences from Asia and Africa, clearly explains BRI’s “debt trap” reality and myth. This book shows that BRI projects help the infrastructural development of developing countries but also increase the risk of debt and political influence. This book provides readers with an in-depth understanding of the prospects and challenges of BRI projects, which is crucial for readers interested in the subject. This book review provides a clear idea of the realities and myths of BRI projects. It discusses the prospects and challenges of BRI projects, which are of great value to the readers.

This article was first published at Dhaka Tribune, July 28, 2024, https://www.dhakatribune.com/magazine/arts-and-letters/352890/debunking-the-myth-of-bri-s-%E2%80%98debt-trap%E2%80%99.

Author Information:

Sujit Kumar Datta is the Chairman of the Department of International Relations, University of Chittagong, Bangladesh, and a Non-resident Fellow, Hong Kong Research Centre for Asian Studies (RCAS). He can be reached at datta.ir@cu.ac.bd. 

Book information: 

Nian Peng and Ming Yu Cheng, The Reality and Myth of BRI's "Debt Trap": Evidences from Asia and Africa, Singapore: Springer Nature, 2024.

The Springer Nature links: https://link.springer.com/book/10.1007/978-981-97-1056-0.

The RCAS links: http://www.rcas.top/event/2306.html