China applies brakes to Africa lending | Financial Times
Beijing has signalled a more cautious approach amid warnings that several African countries could struggle to repay debts
✒ Besides the potentially onerous clauses, the use of Chinese law to govern cross-border loan could also be a concern, as a lawyer opined:
“The absence of case precedent in Chinese law means there would be a wide degree of discretion for courts to rule in a dispute.
You also have to consider that English law, New York law or even Hong Kong law, which are more commonly used in cross-border finance, [have been] developed in jurisdictions that are international financial hubs, Chinese law lacks that.”