Chinese Ambassador to Kenya, Guo Haiyan, has dismissed the “debt trap” narrative often associated with Chinese loans in Africa, labelling it misleading and detrimental to genuine development partnerships.
Speaking during a radio interview at Capital FM, Ambassador Guo clarified that China’s financial cooperation with Kenya is based on mutual respect, development priorities, and transparency, rather than coercion.
“I know some people have this concern, but I’d like to clarify that there is no so-called ‘debt trap’ between China and Kenya,” she remarked
“China only provides loans upon request. We’ve never forced any country to borrow. All the financing that China has provided to Kenya is based on development projects under Kenya’s Vision 2030 plan,” the envoy explained.
Ambassador Guo pointed out that Kenya’s National Treasury data shows that China accounts for only 13% of Kenya’s external debt, indicating that Beijing is not the country’s largest creditor. She noted that multilateral lenders constitute 55%, while commercial creditors hold 23%.
“Most of our loans are concessional, with interest rates below 3%, and they come with no political strings attached,” she stated.
She reiterated that China-Kenya investment and finance cooperation has promoted Kenya’s economic and social development, as well as the well-being of its people.
Ambassador Guo underscored that financing, when used appropriately, is a crucial driver of economic growth, including in developed countries. She insists that arbitrarily highlighting only the negative effects of loans while ignoring the positive role they play in development is contrary to economic common sense.
She also denounced what she termed a double standard in global debt discourse.
“The claim that Chinese loans have caused Kenya’s debt problem is completely false, and it is unfair to portray debt earned to Western countries as ‘investment’, while the debt earned to China as a ‘trap’,” she said
Guo added that no African country has fallen into a debt crisis as a result of cooperating with China. Instead, she pointed to the transformative impact of China-funded projects across the continent.
“To date, we have helped African countries build or upgrade over 10,000 kilometres of railway, nearly 100,000 kilometres of road, almost 1,000 bridges, and nearly 100 ports, along with many other large-scale power facilities, hospitals, and schools. This has created over 1.1 million jobs in Africa,” she explained.
The diplomat stated that China should be judged based on its contributions to Kenya and Africa in general. She cited projects such as the Standard Gauge Railway and the Nairobi Expressway, which have improved infrastructure, created jobs, and contributed to long-term development.
“While the debt issue deserves attention, it should not be used as a weapon by one country against another,” she warned. “I hope the international community will jointly shoulder its responsibility to help African countries ease their debt burden, eliminate poverty and underdevelopment, and achieve sustainable development.”
According to Ambassador Guo, Kenyans should remain vigilant against the politicized “debt trap” narrative, as such claims risk undermining mutually beneficial cooperation between China, Kenya, and Africa as a whole.
