Chinese bank approves $700m financing for Pakistan

Islamabad: Finance Minister Ishaq Dar told on Wednesday that the Board of China Development Bank had approved a $700 million facility for Pakistan, adding to the country’s foreign exchange reserves. Finance Minister Dar stated that the formalities have been completed and that the State Bank of Pakistan will receive the money this week, bolstering its foreign exchange reserves.

According to a representative of the finance ministry, the loan is in addition to other resources China has already provided to Pakistan. One top government official told The News that they were hopeful that all Chinese matured loans would be refinanced soon in relation to the topic of re-financing commercial loans from Chinese banks. However, two additional commercial loans, according to official sources, were expected to be re-financing including $500 million and $800 million. So in totality, Pakistan is eyeing to get re-financing of Chinese loans up to $2 billion by the end of February or the first week of March 2023.