China should write off our debt over pandemic

The People’s Republic of China, commonly known as China, has been on the receiving end over the outbreak of the new coronavirus disease (Covid-19), which has caused unprecedented disruptions in all spheres of human life and shattered even the most sophisticated democracies.

Though scientists and medical professionals argue that the virus has been in existence since 1937, that has not stopped China and its agencies such as the Wuhan Institute of Virology from being sued for allegedly leaking the coronavirus as a bioweapon in the US Court for the Northern District of Texas (Case number 3:20-CV-00656-K).

In the civil class suit, Buzz Photos Limited, Freedom Watch Inc and a group of US citizens have jointly accused China of violating the United Nations Convention on Prohibition of the Development, Production and Stockpiling of Bacteriological (Biological) and Toxin Weapons and their Destruction.

The litigants have blamed China for the physical and emotional torture, loss of lives, break-up of global social order and a devastating economic meltdown.

In a TV interview recently, I pointed out that the already struggling Kenyan economy would be devastated by Covid-19 and that there would be massive erosion of Kenya’s social fabric.

Kenya’s economic prospects are dimming by the day if statistics by the International Monetary Fund are anything to go by in the impending global recession occasioned by the pandemic.

Greatest responsibility

Without doubt, the virus that had claimed over 70,000 lives globally, originated from China. Notably, even scientists who are unconvinced by the bio-weapon talk place its origin at the Huanan Seafood Wholesale Market in Wuhan, China. The illegal wildlife market has been shut following the outbreak.

In light of this, China bears the greatest responsibility over the outbreak for its failure to rein in the illegal wildlife trade, exposing humanity to untold perils. Such markets still dot Asian cities right under their governments’ noses.

The Chinese government has a moral duty to control its national lifestyles, such as consumption of wildlife meat, considering the dangers that this poses not only to China but also to the world.

The effects of the spread of the virus brings to question the entire Chinese economic expansionist policy and her relation with our country.

For instance, Central Bank of Kenya data indicates that half of our country’s Sh3 trillion external debt as at September 2019 is owed to China.

Most of these monies were used to finance capital projects which have not yielded any meaningful economic impact, or rather, immediate economic dividends, to repay the loans in the short-term and possibly in the medium term.

At worst, Kenyan taxpayers are shouldering the heavy burden of servicing debt obligations to China, a country that we continue to engage in imbalanced trade.

Moral authority

It is in light of this that I pose these fundamental questions: Does China expect Kenya to fulfill its debt obligations in the wake of unparalleled disruption to our economy? Does China have a moral authority to demand loan repayment for the Standard Gauge Railway (SGR) in the wake of unprecedented restrictions in local and international travel?

How can SGR generate revenue when movement of goods and people have been limited? This debt should be written off. Restructuring the repayment of the principal amount and the accrued interest should not be an option.

What should happen if China doesn’t weave its moral compass towards compassion by writing off the principal amount and interest accrued with regard to Kenya’s debt?

The Kenyan government should deploy the international instruments available at its disposal such as the United Nations Security Council, World Economic Forum, World Health Organisation and the United Nations Office for Disarmaments Affairs (if indeed the virus leaked from a laboratory as claimed), among others, to force Beijing to agree to our irreducible minimum on debt repayment.

Also, the State Law Office, under the custodianship of the Attorney General, should be put to task to explain whether there exists a force majeure clause in all bilateral agreements Kenya entered into with Beijing to cater for acts of God and unforeseen natural and human calamities.

That said, what more evidence does Kenya need to hold China accountable for the massive distractions and demand a compensation package to revive the economy after we contain the virus?

Amani National Congress leader Musalia Mudavadi was right when he said: “China has a moral obligation to accede to a fresh look at Kenya’s debt portfolio.”

Mr Nathaniel Akadima is the Amani National Congress Youth League Spokesperson