Realtreaty wrote:Kenya can still pay 20% of the debt with China by levying import duty on Chinese goods that enter Kenya as dumping.
This levy can be got from items as phones and accessories, TVs and accessories, Computers and accessories, cosmetic products, hardware that are locally available, shoes and clothing, and finally foodstuffs.
If this import duty or part of it is kept specifically to pay the debt we can end up somewhere.
Govt must seal all routes where these goods come from.
The best Business in Kenya by Kenyans and foreigners is to import anything without control thereby helping China and killing Kenyan industries.
Why should we pay Loans from our pockets and not use the money we charge chinese for selling their products to us. We may seem boiled and must do it smart.
Everything now is from China, where does import duty paid by China go to?
How much is that Chinese import duty per year and why it is not being used to pay for Chinese loans to us?
Alibaba came to sell his products not to preach business to Kenyans.
India may as well fall in same line if we have loans from them.
A very good idea but here are the main challenges.
1. You will be punishing the end consumer who is your citizen because the cost will be fully passed on to them and there's really no fair substitute to their products. Chinese products marketing concept is overly successful mainly because it targets the lower middle class and below. Of course they have high end products for the sake of inclusivity but that's not where they make their money.
2. The Chinese will take it as an anti-competitive act in bad faith and they know we need them more than they need us. We know they are also more experienced negotiators than us plus they will be negotiating from a position of strength.
BBI will solve it :)