Considering the brotherly relations between Pakistan and China, Pakistan has requested a rollover of $ 2 billion in State Administration Foreign Exchange (SAFE) China deposits in March 2023.
During the discussion between Nong Rong ambassador of the People’s Republic of China and the finance minister Ishaq Dar, the later expressed gratitude to the Chinese leadership for its assistance in refinancing a syndicate facility worth RMB 15 billion ($ 2.24 billion) to Pakistan, and he requested the ambassador’s assistance in facilitating the rollover of $ 2 billion in SAFE China deposits in March 2023.
Read more: China extends hand to catch Pakistan from drowning
The finance minister briefed the ambassador on the effects of Pakistan’s historic floods on infrastructure, agriculture, life, and property, as well as the cost to the economy as a whole.
He thanked the Chinese government for its unwavering support for the Pakistani government and people in their hour of need.
In reference to the CPEC, the finance minister stated that the economic corridor will play a key role in propelling Pakistan’s economy ahead while also strengthening bilateral ties between the two nations. He also pledged his entire support for the assistance, confirming the success of CPEC.
Nong Rong expressed his greetings to the minister on taking the charge as the Minister for Finance. The envoy underlined the Chinese government’s sustained support for Pakistan, emphasizing that China is a rock for the Pakistani people in their hour of need.
Read more: Pak-China loan facility agreement signed
So far in totality, China has rolled over a $4.3 billion loan, including $2.3 billion in commercial loans and now $2 billion in SAFE deposits, making it possible for Islamabad for bridging the external financing gap.
In light of Pakistan's declining foreign exchange reserves, China has transferred a $2 billion loan in safe deposits.
Earlier, Pakistan's damaged currency seemed resilient as it closed at 229 versus the dollar on Wednesday, up 11.50 rupees from Tuesday's closing of 240. pic.twitter.com/IEtjqLhgAc— RASALA.PK (@rasalapk) August 4, 2022