China Shifts Away From Risky Loans to Poorer Nations

China forgave interest-free loans due by end-2018 and invested $50 million in a joint facility with the World Bank. The move reflects a broader retreat: after Beijing's direct lending to developing countries surged then soured—burdened by unpaid loans—it is now routing money through multilateral institutions and forgiving old debts. This sidesteps messy debt negotiations while keeping China's development footprint in Africa and Asia.