Author Topic: China loans: PH natural resources as collateral?  (Read 370 times)

adroth

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China loans: PH natural resources as collateral?
« on: March 06, 2018, 09:03:11 PM »
China loans: PH natural resources as collateral?
By: Leila B. Salaverria, Nikko Dizon - @inquirerdotnet Philippine Daily Inquirer / 07:24 AM March 07, 2018

http://globalnation.inquirer.net/164828/china-loans-ph-natural-resources-collateral

A maritime expert on Tuesday expressed alarm over a report in a state-controlled Chinese newspaper that the Philippine government would use natural resources as collateral for multimillion-dollar loans from China.

If true, the arrangement would have serious implications on Philippine territory, said lawyer Jay Batongbacal, director of the University of the Philippines Institute for Maritime Affairs and Law of the Sea.

“This is the first time I have heard of such arrangement. It’s like mortgaging our natural resources, and it is unconstitutional,” Batongbacal told the Inquirer by phone.

‘Gossip’

Malacañang, however, dismissed the report as “gossip.”

“Not true. That’s just [a] newspaper report in a country without freedom of the press,” said presidential spokesperson Harry Roque.

“We need to rely on basic [documents] and there isn’t any,” he said.

< Edited >

adroth

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Re: China loans: PH natural resources as collateral?
« Reply #1 on: March 06, 2018, 09:05:49 PM »
This appears to be what Prof Batongbacal was crying foul about.

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China-Philippines projects to start in South China Sea
By Ma Jingjing Source:Global Times Published: 2018/3/4 21:53:40
 
http://www.globaltimes.cn/content/1091723.shtml

China and the Philippines are stepping up efforts to accelerate a dozen large-scale infrastructure projects in the Southeast Asian country and the launch of some projects will kick off in 2018, Chinese Ambassador to the Philippines Zhao Jianhua said on Saturday.

< Edited >

Paying back its debts is not a problem for the Philippines, according to Zhuang. "The interest rate on the loans China has provided to the Southeast Asian country is very low. And the Philippines has strong debt-paying ability. Besides, the loans are usually accompanied by repayment agreements, which use certain natural resources as collateral."

sbhntr

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Re: China loans: PH natural resources as collateral?
« Reply #2 on: March 13, 2018, 09:32:25 PM »
i would urge extreme caution and study the impact of chinese fishing off the coast of africa (where they have relations and agreements).