MANILA - The Philippines needs to be careful with its negotiations for infrastructure loans from China, which is after territorial concessions, an international political risk analyst said on Thursday.

Anders Corr, an analyst with The Journal of Political Risk, said in an exclusive interview with ANC's Business Nightly that despite the Duterte administration's announcements about Chinese investments and loans, China has yet to deliver on these pledges.

"We're seeing some memorandums of understanding but we're not really seeing the deals being inked and the money coming through," Corr said.

He said that at the same time that China is negotiating loans, it is also doing negotiations for the joint development of oil and gas resources in the South China Sea.

"My conclusion is the loans that China is talking about in its memorandums of understanding are actually contingent on South China Sea concessions by the Philippines to China," Corr said.

Corr said that any kind of joint development that would give special concessions to China would mean a loss of sovereignty for the Philippines.

"When Duterte first came into power, he said he would defend the Philippines, he would ride on a jet ski to defend the Philippines in the South China Sea. Now we're seeing him backtrack on that," he added.