(Eagle News) — Chinese Ambassador to the Philippines Zhao Jianhua on Tuesday, July 17, denied the Philippines was headed for a debt trap with its availing of Chinese loans to finance projects under the “Build, Build, Build” program.
“Let me make it quite clear, these projects, these two bridges are going to be financed by Chinese grants. That is, we’re going to build it for free,” Zhao, who graced the groundbreaking ceremony for the Binondo-Intramuros bridge on Tuesday, July 17, said.
Zhao was responding to a report from a Chinese newspaper that said that the Philippines would pay back the loans to China with natural resources.
According to Zhao, “I think your economic team is smart enough.”
“Actually there has never been a debt trap. It’s all based on mutual agreement,” he said, adding that the projects to be built would be owned by the Philippines.
