China says its massive loans, projects did not push Sri Lanka to bankruptcy

China on Thursday defended its massive infrastructure ventures and investments in crisis-hit Sri Lanka and said that they have “boosted” its economic development, amid criticism from the US of Beijing’s unproductive projects and opaque loan deals among the reasons for the country’s bankruptcy.

Power said China became one of Sri Lanka’s “biggest creditors” offering often “opaque loan” deals at higher interest rates than other lenders and wondered whether Beijing would restructure the debt to help the island nation.