from thefreeonline on 2nd Jan 2023
The World Bank reported that back in 2022, a total of 37 states had outstanding debt to Russian creditors, amounting to $28.9 billion, a $2.3 billion (or 8.7%) increase from 2021.
The Russian government will no longer base its foreign loan decisions on credit ratings compiled by Western agencies and the Organization for Economic Co-operation and Development (OECD).
African countries can be denied loans on bad credit ratings caused by historical repayment defaults due to colonialist looting.
Based on estimates cited by RBK, in 2021, Russia ranked fifth among the largest sovereign lenders to developing countries.
Russia’s influence in Africa grows –
A corresponding decree was signed by Russian Prime Minister Mikhail Mishustin last week, and the document was later published on the government’s official portal.
Poor credit ratings have historically blocked many nations in securing loans. Under the previous regulations, in order to receive a loan from Moscow, foreign countries had to belong to credit risk groups with a score no lower than six (out of eight) according to the OECD’s classification, or with a long-term credit rating higher than B- (according to the Fitch and Standard & Poor’s rating systems), and higher than B3 (according to Moody’s).
Pro-Russia demonstrators rally in Burkina after coup. The series of Coups in the Sahel region has ended French and UN control in the region.
These provisions no longer apply, which means Russia will be able to provide loans to countries that don’t meet these requirements, according to the latest decree.
African countries are showing great interest in joining the expanding BRICS+ coalition and gaining future access to ‘no strings attached’ financing , thus evading World Bank, US dollar and IMF blackmail and debt traps.
How Russia’s FREE Grain Supply to African Countries Differs From Western Aid …
Dec 3, 2023 A ship carrying 25,000 tons of humanitarian wheat from Russia arrived in Somalia on Thursday.
Russian President Vladimir Putin has also promised to send free grain to Burkina Faso, Zimbabwe, the Central African Republic, Mali, and Eritrea.
In addition, the analyst Onyango Ogola pointed out that Western countries always impose additional conditions on the transfer of grants and aid. Besides, the fact that the UK and other European countries “have classified African countries as middle-income economies” does not allow them to provide many grants, as the focus is on low-income countries, Onyango Ogola said.
Western profits from African resources always far exceed conditional ‘Development Aid’….. read more here
The free grain has been described as a WIN/WIN gift as Russia has a surplus of wheat after another record harvest in 2023.
The previous grain export deal allowing export of Ukrainian wheat under US led Sanctions was on the condition it be used to relieve world hunger.
That grain deal was finally cancelled by Russia which long complained that the promise to deliver grain to Africa was flouted by the west and the cheap grain supply went mainly to animal feed in Europe.
However Russia has few problems exporting its own grain and other agricultural products to 3rd countries despite sanctions and another record grain harvest is predicted in 2024.
The Free 