U.S.’ Tillerson says African countries should weigh Chinese loans carefully

African Union (AU) Commission Chairman Moussa Faki, of Chad, and U.S. Secretary of State Rex Tillerson hold a news conference after their meeting at African Union headquarters in Addis Ababa, Ethiopia March 8, 2018. REUTERS/Jonathan Ernst

U.S. Secretary of State Rex Tillerson said on Thursday that African countries should weigh Chinese loans carefully, while adding that Washington was not trying to keep Chinese investment away from the continent.

Tillerson, a former Exxon chief executive, is seeking to bolster security alliances on a continent increasingly turning to Beijing for aid and trade.

He may also seek to smooth relations after U.S. President Trump reportedly dismissed some African nations as “shithole countries” in January. Trump later denied making the comment.

“We are not in any way attempting to keep Chinese dollars from Africa,” Tillerson told a news conference in the Ethiopian capital during his first diplomatic trip to the continent. “(But) it is important that African countries carefully consider the terms of those agreements and not forfeit their sovereignty.”

He arrived in Ethiopia, Africa’s second most populous nation, on Wednesday and visited the African Union headquarters on Thursday. The complex was fully funded and built by China and is seen as a symbol of Beijing’s thrust for influence and access to the continent’s natural resources.

The top U.S. diplomat’s comments followed a speech earlier this week in which he criticised “China’s approach” to Africa which he said encouraged dependency through “opaque contracts” and “predatory loan practices”.