The Chinese have a lot of spare financial resources to spare and entice. They therefore entice countries like Sri Lanka, Maldives, Malaysia, Pakistan by offering loans with interest. They finance projects like buildings, ports airports, roads bridges and other grandiose projects that look very attractive.
These projects seem indirectly to connect China to these countries by land, water and air and secretly favour expansionist plans without firing a shot.
These projects have long gestation periods and countries in the short term cannot pay the interest and hence they take possession of assets created by them in return.Thus indirectly the Chinese own a part of the country. IT also means employment for their vast army of skilled citizens, who have the specific skills.It is akin to landlords extending loans and then taking back in the form of bonded labour or confiscation of their properties on default.
Sri Lanka at the moment is in serious economic crisis of unprecedented nature. Pakistan may be the next in line. Chinese have tightened their grip over countries without conquest or war or a fight but very sweetly through loans and the interest to be paid to China completes the well laid out trap of subjugation.
