What Happened: The International Monetary Fund has approved a bailout for the Republic of the Congo, according to a July 11 press release.
Why It Matters: The IMF's bailout could set a precedent for other African countries that owe a significant amount of debt to China, as it means the fund will not withhold relief until Beijing agrees to restructure the Republic of Congo's debt obligations and reduce the principal.
Background: The Republic of the Congo's debt reached 117.5 percent of its gross domestic product in 2017, while the country owes 34 percent of its public debt to China.
- Russia's Plan for Making Friends in Africa (June 15, 2019)
- China Changes Gears on the Belt and Road Initiative (April 26, 2019)
- China's Belt and Road Initiative, Five Years In (June 22, 2018)