China asked to fast-track $1.3b refinancing
Pakistan has requested that China expedite the refinancing of $1.3 billion in commercial loans to help stabilize its foreign exchange reserves. This follows a significant repayment of external debt made by the country in July.
Why it matters
The refinancing is essential for Pakistan's economic stability as it manages high external debt servicing requirements.
--> Home Business China asked to fast-track $1.3b refinancing Pakistan repaid $2.2b in external debt in July weighing on foreign exchange reserves
facebook --> twitter --> whatsup --> linkded --> email MORE (3) Messenger Whatsapp --> China asked to fast-track $1.3b refinancing ISLAMABAD: Pakistan has formally requested China to expedite the refinancing of $1.3 billion in commercial loans, seeking early completion of the process to support its foreign exchange reserves, according to Ministry of Finance sources.
According to the sources, Pakistan made external payments of $2.2 billion in July, which included the repayment of $1.3 billion in Chinese commercial loans. Officials said discussions with Chinese authorities are ongoing to complete the refinancing process at the earliest possible time, with the rules, terms and conditions expected to be finalised soon. Once the process is concluded, the funds are likely to be disbursed within the current month.
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