Washington, Feb 27 (EFE).- China extended loans worth $22.1 billion to Latin America in 2014, topping the $20 billion lent by the World Bank and the Inter-American Development Bank combined, according to a report from a Washington think-tank.

 

The report was coordinated by Kevin Gallagher, an associate professor at Boston University, and Inter-American Dialogue staff researcher Margaret Myers.

 

Brazil was the top recipient of Chinese loans last year, with $8.6 billion, followed by Argentina, $7 billion; Venezuela, $5.7 billion; and Ecuador, $820 million, Gallagher said in a press conference.

 

The bulk of Chinese lending to the region went toward mining and other extractive industries along with major infrastructure projects, he said.

 

China views its lending to Latin America as a “diplomatic tool,” according to Gallagher.

 

In the cases of Venezuela, Argentina and Ecuador, the volume of Chinese loans reflects, in part, the “difficulties” those countries encounter in accessing international capital markets.

 

Since 2005, when the researchers established their database, China has granted Latin American countries a total of $119 billion in loans, most of them through the state-run China Development Bank and China Export-Import Bank.

 

Venezuela has received almost half of the total, $53.6 billion, followed by Brazil with $22 billion, the report said. EFE