China Rethinks Its Alliance With Reeling Venezuela
By Kejal Vyas
China is concerned about debt repayment and the safety of its expatriates as Venezuela’s crime rates increase and its economy decreases. China has spent many years trying to build a strategic alliance with Venezuela, one of the world's largest proven oil reserves. With $60 billion loaned, China is still owed about $20 billion. This concerns China as The International Monetary Fund estimates that Venezuela's economy will decline by 10% this year. China needs a guarantee that its investments in Venezuela will be respected by the country's current opposition amid, a situation involving food riots. Therefore, Venezuela may not receive new loans or investments from China. Of equal concern, is the security of China's citizens and companies in Venezuela. With Venezuela having the worlds second-highest murder rate, according to the independent Venezuela Violence Observatory, Chinese citizens have become targets for kidnappers. Kidnapping increased by 60% in 2015. Chinese companies are moving employees to Columbia and Panama for safety reasons and many other Chinese state workers rarely leave their homes and jobsites. It is my opinion that Chinese citizens leave the country of Venezuela due to security and economic reasons. More than 100,000 Chinese remain in the country and are exposing their lives. They are viewed as "ATM's" by local delinquents. Therefore, with the Venezuelan market destroyed and Venezuela's dollar reserves genuinely low, the Chinese do not see a future in this country. The Chinese should seek alliance with other emerging countries.