Heine Discusses Shift in Chinese Lending Strategy in Latin America
Ambassador Jorge Heine, Research Professor at the Frederick S. Pardee School of Global Studies at Boston University, was interviewed for a Voice of America (VOA) article on the restructuring of China’s lending practices in Latin America.
The article, titled “China Changes Its Latin America Lending Practices,” describes China’s shift from state-to-state loans to investing in its own companies in the region. While its earlier lending strategy enabled Chinese companies to become established in Latin American and Caribbean markets, the borrowing governments also became heavily indebted.
Heine argues that China’s change in strategy may be in part because it “burned its fingers” with Venezuela, where the government “continues to owe $19 billion to China…and the payment is uncertain.” He also states that China appears to be concentrating more on domestic development and internal investment in the coming years.
The full article can be read on VOA‘s website.
Ambassador Jorge Heine is a Research Professor at the Pardee School of Global Studies at Boston University. He has served as ambassador of Chile to China (2014-2017), to India (2003-2007) and to South Africa (1994-1999), and as a Cabinet Minister in the Chilean Government. Read more about Professor Heine on his faculty profile.