Chinese Demand High Collateral when Lending

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State banks secure themselves with raw material receipts from developing countries from Kiel, 18 July 2025. When Chinese state banks lend loans to emerging and developing countries, they like to secure themselves twice and three times – and demand similar collateral as otherwise only private banks. The Kiel Institute for the World Economy (IfW Kiel) knows this. Researchers: Dangerous arms race for collateral threatens, which weakens developing c…