We've got news for you.

Register on SowetanLIVE at no cost to receive newsletters, read exclusive articles & more.
Register now

DA to question Ramaphosa's R370-billion Chinese 'gift'

President Cyril Ramaphosa.
President Cyril Ramaphosa.
Image: GCIS

The DA says it will submit parliamentary questions to the Presidency as well as Finance Minister Nhlanhla Nene to establish the full details of the terms and conditions attached to a “gift” of R370-billion that President Ramaphosa has apparently “negotiated” with China.

DA shadow deputy minister of finance Alf Lees said on Sunday that recent media reports indicated that the Chinese government had promised this multi-billion rand “gift” to South Africa as some sort of stimulus package.

“It would be naive in the extreme to think that this ‘gift’ from the Chinese comes with no strings attached.

“The Chinese have a history of getting more than their pound of flesh is worth out of African and other countries that they make funds available to‚” Lees said.

He said the Chinese modus operandi was clearly to initially offer good terms‚ knowing that more money would be asked for and then‚ as more money was requested‚ the terms and conditions would become more and more onerous until the borrowing country found itself in a debt trap.

“Once it cannot pay China what is due‚ the debt-ridden country is forced to give up assets and sovereignty that were included as the terms and conditions got more and more strenuous‚” Lees charged‚ adding that Ramaphosa was “desperate for the $100-billion in foreign investment funding that he promised to South Africa”.

Would you like to comment on this article?
Register (it's quick and free) or sign in now.

Speech Bubbles

Please read our Comment Policy before commenting.

Commenting is subject to our house rules.