Papua New Guinea asks China to refinance Sh826.3 trillion public debt

Papua New Guinea Prime Minister James Marape says he has asked China's ambassador to help in refinancing the country's debt [Photo, AFP]

Papua New Guinea has asked Beijing to refinance its Sh826.3 (USD 8 billion) debt, in a request likely to rile Australia and the US as they try to maintain their influence in the Pacific in the face of a rising China.

Beijing has been strengthening ties with PNG and other Pacific nations by increasing engagement and offering loans for infrastructure, prompting both the US and Australia to launch their own charm offensives in the region to keep traditional allies on side.