Sri Lanka Kenya China Belt and Road
In 2025, both Sri Lanka and Kenya are actively pursuing debt relief from international lenders amid mounting economic challenges. At the center of the conversation is China’s Belt and Road Initiative (BRI), which has significantly contributed to the debt burdens of developing nations through large-scale infrastructure loans.
Why Are Sri Lanka and Kenya in Debt Trouble?
Sri Lanka defaulted on its foreign debt in 2022 and continues to struggle with inflation, a weak rupee, and food insecurity. Kenya is facing rising debt-servicing costs, depreciating currency, and economic slowdown caused by drought and global inflation.