Chinese loan: Montenegro asks EU for help

Montenegro plans to ask various EU organizations for help in repaying a $1 billion loan to China, the Financial Times reports with reference to Montenegro’s Finance Minister Milojko Spajić. According to the report, the loan was granted for a highway project that is being built by the China Road and Bridge Corporation but has not yet been completed. According to the FT, the project is considered one of the most expensive highways in the world and is unprofitable. The country would have to start repayments in July. If Montenegro defaults, the terms of the contract give China the right to access Montenegrin land as collateral, the report adds.