Pakistan seeks refinance of China bank loans

ISLAMABAD: Pakistan has requested that the Bank of China refinance commercial loans after the existing portfolio has been paid off.

Pakistan requires the re-financing of $3.3 billion from different Chinese banks during the current fiscal year.

According to an official announcement made here on Tuesday, Minister for Finance and Revenue Senator Ishaq Dar held a virtual meeting with the President of the People’s Bank of China, Liu Jin, at the Finance Division.

The SAPM on Finance, Tariq Bajwa, SAPM on Revenue, Tariq Mehmood Pasha, Special Secretary of Finance and other senior officers from the Finance Division attended the meeting.

Finance Minister Ishaq Dar shared that it has always been a great pleasure working with the Bank of China and Pakistan has enjoyed sound financial dealings with the bank. He also highlighted the recent visit of the prime minister of Pakistan to China and talked about the reciprocation of warm sentiments from the Chinese leadership.

The minister, while talking about the long-standing and durable relationships between the government of China and the Government of Pakistan, expressed gratitude to the president and the Bank of China for their continuous support to Pakistan in testing times. It was shared that the Bank of China has played a crucial role in extending budgetary support to Pakistan, which has played a significant role in easing pressure on the external account and meeting budgetary needs.

The finance minister invited the president of the People’s Bank of China to come to Pakistan. He briefed the president of the Bank of China on the financial and fiscal conditions inherited by the present government and shared that the current government has a strong resolution to bring back macroeconomic stability. In this regard, he sought the Bank of China’s support and asked the president to expand business relations with Pakistan to deepen economic and financial ties.

The president of the People’s Bank of China also highlighted the historical and bilateral ties between both countries and appreciated the government of Pakistan for taking the necessary measures to ease the lives of the masses in the country. He also acknowledged the contribution of Pakistan to supporting China during hard times. He also praised Pakistan’s government for its ongoing assistance with various Chinese projects under the auspices of CPEC. In conclusion, the finance minister thanked the president of the Bank of China for continuous support and assured him of the same support by the present government in deepening economic, trade, and investment cooperation.