Cash-trapped Pakistan is looking to secure a $3 billion (PKR 529 billion) loan from China and investments in half a dozen sectors during Prime Minister Imran Khan's visit to Beijing next week, according to a media report on Sunday.
Khan will visit the Chinese capital on February 3 to attend the opening of the Beijing Winter Olympics and to also meet the top Chinese leadership on the sidelines for bilateral talks.
The Express Tribune reported quoting government sources that a final meeting to shape the agenda of the visit would take place on Tuesday.
A senior finance ministry official said the government was considering requesting China to approve another loan to the tune of USD 3 billion in China's State Administration of Foreign Exchange, known as SAFE deposits, so as to boost its foreign exchange reserves.
China has already placed around $11 billion (PKR 1.940 trillion) with Pakistan in the shape of commercial loans and foreign exchange reserves support initiatives, including $4 billion (PKR 705 billion) in SAFE deposits.
The Chinese money is part of the country's current official foreign exchange reserves recorded at $16.1 billion (PKR 2.8 trillion).
In the last fiscal year, the country had paid over PKR 26 billion in interest charges to China only for using a $4.5 billion (PKR 794 billion) Chinese trade finance facility to repay the maturing debt.
Last month, Pakistan also received a loan from Saudi Arabia of $3 billion (PKR 529 billion), which the country has used.
...
Read Full Story: https://www.theweek.in/news/world/2022/01/30/cash-strapped-pakistan-looks-to-secure-3-billion-loan-from-china.html
Your content is great. However, if any of the content contained herein violates any rights of yours, including those of copyright, please contact us immediately by e-mail at media[@]kissrpr.com.