Good news for Pakistan’s economy, China defers $2 billion loan repayment
State Bank's net foreign exchange reserves are expected to cross $5 billion after another $300 million flowed in from China this month, Confirmation of external financing is required for agreement from IMF
Significant progress has been made towards a staff-level agreement with the IMF and China has rolled over $2 billion in debt owed to Pakistan.
The State Bank’s net foreign exchange reserves are expected to cross $5 billion following the arrival of another $300 million from China this month.
According to sources in the Ministry of Finance, China has delayed the return of safe deposits worth 2 billion dollars for one year. In this way, the foreign exchange reserves of the State Bank have been stabilized.
We need external financing assurances before finalizing ninth review for Pakistan, IMF
According to sources, financing is expected from Saudi Arabia and the United Arab Emirates. Confirmation of external financing is necessary for the agreement from the IMF. In the same month, another 300 million dollars have come to Pakistan from China. It is expected that the foreign exchange reserves will exceed 5 billion dollars in the same month.
It should be noted that Pakistan needs at least $5 billion in funding from friendly countries to revive the program from the IMF.
