India provides loans worth $14.27 billion to neighbouring nations

New Delhi: India has announced a loan of $14.27 billion for around 162 projects in Sri Lanka, Bangladesh, Nepal, Myanmar and Maldives. It has also declared an additional loan worth $14.07 billion for projects across 42 African countries. Minister of State for External Affairs V. Muraleedharan gave this information.

Moreover, India’s neighbouring countries and other Asian and African countries are currently facing severe food shortages and economic crises. These countries have been debt-trapped by China by giving huge loans. But in the last few years, global awareness has been raised against China’s debt trap. China is accused of being responsible for the severe financial crisis and shortage of food grains and fuel in Sri Lanka. In such a situation, India provided large loan assistance to its neighbouring countries and African countries, including Sri Lanka.

While answering another question in the Lok Sabha, Indian External Affairs Minister S. Jaishankar presented India’s position. Under its ‘Neighbourhood First’ policy, India prioritises establishing cordial cooperation with neighbouring countries. Jaishankar said that under this, India is providing substantial cooperation for the economic development of Sri Lanka. Jaishankar pointed out that India has provided $40 crore in assistance to Sri Lanka under the currency swap agreement since January. Along with this, Jaishankar also reminded that India had given a fund of 50 crore dollars to Sri Lanka to buy fuel.

Jaishankar said that India had provided another billion dollars in assistance to Sri Lanka for food, medicines and other essentials. A few days ago, Sri Lanka’s fuel minister expressed regret that the countries expressing concern over the situation in Sri Lanka have not helped their country with fuel so far. Sri Lanka’s Fuel Minister had said that India is the only country that assists Sri Lanka with fuel.

In this economic and political crisis period, China is being criticised internationally for turning its back on Sri Lanka. Economists worldwide claim that the loans taken from China at high-interest rates and used for unviable projects are the main problem in Sri Lanka. Looking at the situation in Sri Lanka, there has been a movement in the countries that borrowed from China. Analysts in Pakistan, China’s closest ally, also fear their country will become like Sri Lanka. At the same time, some responsible analysts and journalists of Pakistan are drawing attention to the amount that India has given as assistance to Sri Lanka as much as Pakistan is reaching out to the International Monetary Fund.

Minister of State for External Affairs Muraleedharan claimed that the assistance provided by India to South Asian and African countries would benefit both sides. India is not using loans to trap poor countries; rather, it is interested in developing these countries. Therefore, the image of India at the international level seems to have become brighter.