China’s $2.2 trillion global lending spree reshapes international finance
A new study has revealed the scale of China’s global lending over the past 24 years. Between 2000 and 2023, Beijing loaned or granted $2.2 trillion to over 200 countries, making it a significant player in the global finance landscape. The US emerged as the largest recipient, receiving more than $200 billion for nearly 2,500 projects and activities during this period.
The US has been the top destination for Chinese funding, with state-owned entities financing high-tech acquisitions and infrastructure projects since 2000. By December 2022, China held about $867.1 billion in US Treasury securities, making it one of the largest foreign holders of American debt. However, transactions in sensitive sectors have faced growing difficulties due to stricter US regulatory oversight.
The study highlights China’s expanding financial influence across the globe. With $2.2 trillion disbursed since 2000, its lending practices now reflect a clearer focus on economic and security objectives. As recipient countries impose stricter regulations, the future of these financial flows may face further adjustments.
