China's Debtors: The Top 20 Countries

Ranking the World's Biggest Debtors to China

Visual Capitalist's Marcus Lu has compiled a ranking of the top 20 countries in terms of their debt to China. The data, sourced from the World Bank and available on Yahoo Finance, is current as of 2022. The list reveals that Pakistan and Angola are the countries with the most significant debt to China, having borrowed billions for various infrastructure and energy projects.

Debt Management Struggles

Both Pakistan and Angola have had difficulties managing their debt. In February 2024, China extended the maturity of a $2 billion loan to Pakistan. Shortly after, in March 2024, Angola negotiated a lower monthly debt payment with its largest Chinese creditor, the China Development Bank (CDB).

Is China Heading for Trouble?

China's Belt and Road Initiative

China has committed over $1 trillion in funding to developing countries through its Belt and Road Initiative (BRI). This ambitious economic development project aims to boost trade between China and countries across Asia, Africa, and Europe. However, this lending spree could potentially pose problems in the near future.

Concerns Over Debt Repayment

A 2023 report by AidData revealed that 80% of these loans involve countries in financial distress. This raises concerns about whether these nations will ever be able to repay their debts. While China presents the BRI as a driver of global development, critics in the West have warned that the initiative employs debt-trap diplomacy, where a country uses loans to gain influence over another.

Editor's Note

The debt depicted in this visualization only includes direct external debt and does not account for publicly-traded, liquid, debt securities like bonds. It is also important to note that the World Bank data excludes some countries with data accuracy or reporting issues, such as Venezuela.

Global Government Debt

If you found this post interesting, you might also enjoy our breakdown of $97 trillion in global government debt.

What's Your Take?

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