Pakistan-China Loan Talks Energy Debt and $250M Panda Bond
As per details, a joint working group will be established between Pakistan and China to facilitate the loan rescheduling, sources added.
Additionally, discussions will address China’s energy circular debt, which currently amounts to Rs 480 billion.
The Finance Minister will also engage in talks regarding the Panda Bond. Pakistan aims to secure a $250 million Panda Bond during this visit.
Chinese loans account for 11pc of foreign debt
Earlier this year, China rolled over a $2 billion loan to Pakistan.
The $2 billion loan was due in March and was extended for one year. Beijing had communicated the decision to Islamabad, it added.
Pakistan’s cash-strapped economy is struggling to stabilize from a financial crisis and secured a $3 billion standby arrangement from the International Monetary Fund (IMF) last summer.
Pakistan’s vulnerable external position means that securing financing from multilateral and bilateral partners will be one of the most urgent issues facing the next government, ratings agency Fitch said last week.
Mutib Khalid is a skilled content writer and digital marketer with a knack for crafting compelling narratives and optimizing digital strategies. Excel in creating engaging content that drives results and enhances online presence. Passionate about blending creativity with data-driven approaches, Mutib Khalid helps brands connect with their audience and achieve their goals.
