Abstract: During recent times, China’s ‘Debt Trap’ stratagem has gained immense international attention as Beijing has been distributing non-viable loans at cheap rates across the globe to developing nations. The Chinese Debt trap involves, Beijing providing concessional loans to impoverished countries for infrastructural development with extremely stringent repayment requirements. The unsustainable debt on financially weaker countries leads to loss of strategic assets and resources; large economic dents; and surrender of sovereignty. China’s seizure of the Hambantota Port for 99 years in Sri Lanka as an alternative to debt repayment is a prime example of the Chinese modus operandi. The International Monetary Fund stated that from 2013-2016 China’s debt to developing nations increased from 6% to 11%. (Green, 2019). The China Hawks view this policy as a Chinese attempt to increase its geostrategic sphere of influence and build upon its massive economic clout. Brahma Chellaney coined the term ‘Debt Trap Diplomacy’ in 2017 in lieu of Beijing’s predatory lending to exploit economically distressed nations to seize significant assets and increase their military presence.