Chinese company to build alternative to Panama Canal

Nicaragua announced that it has granted a Chinese firm a 100-year lease to build a US$40 billion alternative to the Panama Canal, The Guardian reported. The new canal is set to have a higher capacity than the historic Panama Canal, a crucial shipping route between Pacific and Atlantic waters, even after a US$5.2 billion expansion. The move by Nicaragua highlights growing Chinese influence over the global economy as US dominance softens. While the name of the Chinese operator has not been released, Nicaragua’s president, Daniel Ortega, has said that the new channel will run through Lake Nicaragua in the north part of the country.