Skip to main content

Chinese ‘Debt Trap’ narratives are myth making propaganda manufactured in West

By Bhabani Shankar Nayak* 

The international debt trap is a product of colonial and neo-colonial plunders, imperialist hegemony and neoliberal economic policies imposed by developed countries on developing world. The Asian, African, Latin American and even the capitalist west is suffering from debt due to the dominance of Westphalian capitalist system that controls world economic and politics. However, the reactionary and capitalist ideologues, their mouthpiece mass media, writers, journalists, consultants, think tanks, leaders and their propaganda machines are on a relentless campaign to defame, delegitimise and diminish Chinese achievements. The core idea of this consorted anti-Chinese propaganda is to undermine the alternative development model pursued by China.
The Chinese economic and political engagement in Asia, Africa and Latin America is challenging the debt dependence development model and questions the very foundation of western debt trap designed to exploit natural resources from the developing world. Debt is a political and economic tool of the western countries to control the politics and economic systems of the developing world and continue capitalist hegemony. China is a threat to such world order. From Chinese authoritarianism to Chinese debt trap campaigns are ideologically driven propaganda based on myths. There is absolutely no foundation to these campaigns. Falsehood is a norm for the survival of western hegemony over people and the planet.
The Chinese ‘Debt Trap’ narratives are myth making propaganda. The idea of debt trap diplomacy is to undermine Beijing and its relationship with developing countries. In reality, China provides three different types of loans i.e., i) interest free loan, ii) long term loan for infrastructure with minimal interests and iii) commercial loans. China even allows to restructure the terms of the existing loans based on changing economic conditions of the borrowing countries. China has never grabbed any assets of the any countries that borrowed from China. The acquisitions, investments and integrations are western business strategies in international trade, but China pursues these strategies with a difference when it comes to its lending patterns and policies for the developing countries.
China is the one of the largest official creditors with a global presence, but it never puts conditions of structural adjustments, change of labour laws or liberalisation and privatisation of their economic systems while lending. The western propaganda machine never fails to portray integration and acquisitions as Chinese dominance and debt trap. Chinese economic engagement with the developing countries fundamentally challenges the western hegemony. Therefore, Beijing is branded as an authoritarian devil that intents to colonise and dominate the world. There is no iota of truth in it, but western ideologues look at themselves in prison of their own eyes. The colonial past is a mirror, where the colonisers plays their victim card to hide their past.
The economic and political challenges faced by Asian, African and Latin American countries today are products of their colonial past and neo colonial present dominated by the United States and Western Europe. China is providing loans for infrastructure development by which the developing countries can recover from their western dependency to mobilise their own natural resources.
The African, Asian and Latin American counties are not currently under substantial Chinese debt. In fact, the share of Chinese debt in comparison to total debt to GDP ratio is very minimal. So, it is time to debunk the unfounded narratives and propaganda around Chinese debt trap diplomacy. The expansion of Chinese economic and political engagement with developing countries help in reducing their dependency on western capital, which makes western powers uncomfortable and persistently spread lies against China. This is a diversionary strategy of the western leaders to hide their political and economic failures. Falsely outsourcing of all the blame on China is not going to hide failures of capitalism and so-called western democracy. The deepening of democracy depends on a debt free world economy. It can be facilitated by politics of unity, peace, solidarity and shared prosperity. The Chinese economy and politics based on peace, cooperation, development and socialism are four pillars of Chinese alternative for the world to pursue.
A debt driven western dominance based on capitalism is not an economic or political alternative. It has failed in different stages of history. The world does not need a unipolar, bipolar and multipolar world order led by United State, China, France, Britain, Germany, Russia and India. The world politics needs to focus on people, peace and planet based on egalitarian values of liberty, justice, fraternity and citizenship rights. A people and planet centric world order is the call of the day for a sustainable tomorrow.
---
*University of Glasgow, UK

Comments

TRENDING

Grueling summer ahead: Cuttack’s alarming health trends and what they mean for Odisha

By Sudhansu R Das  The preparation to face the summer should begin early in Odisha. People in the state endure long, grueling summer months starting from mid-February and extending until the end of October. This prolonged heat adversely affects productivity, causes deaths and diseases, and impacts agriculture, tourism and the unorganized sector. The social, economic and cultural life of the state remains severely disrupted during the peak heat months.

Stronger India–Russia partnership highlights a missed energy breakthrough

By N.S. Venkataraman*  The recent visit of Russian President Vladimir Putin to India was widely publicized across several countries and has attracted significant global attention. The warmth with which Mr. Putin was received by Prime Minister Narendra Modi was particularly noted, prompting policy planners worldwide to examine the implications of this cordial relationship for the global economy and political climate. India–Russia relations have stood on a strong foundation for decades and have consistently withstood geopolitical shifts. This is in marked contrast to India’s ties with the United States, which have experienced fluctuations under different U.S. administrations.

From natural farming to fair prices: Young entrepreneurs show a new path

By Bharat Dogra   There have been frequent debates on agro-business companies not showing adequate concern for the livelihoods of small farmers. Farmers’ unions have often protested—generally with good reason—that while they do not receive fair returns despite high risks and hard work, corporate interests that merely process the crops produced by farmers earn disproportionately high profits. Hence, there is a growing demand for alternative models of agro-business development that demonstrate genuine commitment to protecting farmer livelihoods.

The Vande Mataram debate and the politics of manufactured controversy

By Vidya Bhushan Rawat*  The recent Vande Mataram debate in Parliament was never meant to foster genuine dialogue. Each political party spoke past the other, addressing its own constituency, ensuring that clips went viral rather than contributing to meaningful deliberation. The objective was clear: to construct a Hindutva narrative ahead of the Bengal elections. Predictably, the Lok Sabha will likely expunge the opposition’s “controversial” remarks while retaining blatant inaccuracies voiced by ministers and ruling-party members. The BJP has mastered the art of inserting distortions into parliamentary records to provide them with a veneer of historical legitimacy.

A comrade in culture and controversy: Yao Wenyuan’s revolutionary legacy

By Harsh Thakor*  This year marks two important anniversaries in Chinese revolutionary history—the 20th death anniversary of Yao Wenyuan, and the 50th anniversary of his seminal essay "On the Social Basis of the Lin Biao Anti-Party Clique". These milestones invite reflection on the man whose pen ignited the first sparks of the Great Proletarian Cultural Revolution and whose sharp ideological interventions left an indelible imprint on the political and cultural landscape of socialist China.

The cost of being Indian: How inequality and market logic redefine rights

By Vikas Gupta   We, the people of India, are engaged in a daily tryst—read: struggle—for basic human rights. For the seemingly well-to-do, the wish list includes constant water supply, clean air, safe roads, punctual public transportation, and crime-free neighbourhoods. For those further down the ladder, the struggle is starker: food that fills the stomach, water that doesn’t sicken, medicines that don’t kill, houses that don’t flood, habitats at safe distances from polluted streams or garbage piles, and exploitation-free environments in the public institutions they are compelled to navigate.

Why India must urgently strengthen its policies for an ageing population

By Bharat Dogra   A quiet but far-reaching demographic transformation is reshaping much of the world. As life expectancy rises and birth rates fall, societies are witnessing a rapid increase in the proportion of older people. This shift has profound implications for public policy, and the need to strengthen frameworks for healthy and secure ageing has never been more urgent. India is among the countries where these pressures will intensify most sharply in the coming decades.

Thota Sitaramaiah: An internal pillar of an underground organisation

By Harsh Thakor*  Thota Sitaramaiah was regarded within his circles as an example of the many individuals whose work in various underground movements remained largely unknown to the wider public. While some leaders become visible through organisational roles or media attention, many others contribute quietly, without public recognition. Sitaramaiah was considered one such figure. He passed away on December 8, 2025, at the age of 65.

Proposals for Babri Masjid, Ram Temple spark fears of polarisation before West Bengal polls

By A Representative   A political debate has emerged in West Bengal following recent announcements about plans for new religious structures in Murshidabad district, including a proposed mosque to be named Babri Masjid and a separate announcement by a BJP leader regarding the construction of a Ram temple in another location within Behrampur.