6 hours ago
Last Updated:June 29, 2025, 20:12 IST
Pakistan also received a USD 1 billion loan from commercial lenders in the Middle East and USD 500 million in multilateral funding.
China's Premier Li Qiang (L) speaking with Pakistan's Prime Minister Shehbaz Sharif (Credits: AFP)
China rolled over a USD 3.4 billion loan to Pakistan, which, combined with other recent commercial and multilateral funding, will help Islamabad boost its foreign exchange reserves to USD 14 billion, Reuters reported, citing a finance ministry source.
According to the report, Beijing has extended the rollover of USD 2.1 billion, which had remained with Pakistan’s central bank for the past three years, and also refinanced a USD 1.3 billion commercial loan that Islamabad had repaid two months earlier.
Notably, China has rolled over USD 2.1 billion that had remained with Pakistan’s central bank for the last three years and also refinanced a USD 1.3 billion commercial loan, which Islamabad had repaid two months ago.
Pakistan also received a USD 1 billion loan from commercial lenders in the Middle East and USD 500 million in multilateral funding, said the report, citing sources.
“This brings our reserves in line with the IMF target," he said.
The loans, particularly from China, are significant for Pakistan, as its foreign exchange reserves are very low.
The Monetary Fund (IMF) has said that Pakistan must have at least USD 14 billion in foreign reserves by June 30, which is the end of its current fiscal year.
Pakistan needs these loans to meet the requirement by the IMF of keeping its reserves above USD 14 billion, which it needs to maintain for further IMF support.
According to Pakistani officials, the country’s economy is now stable because of the ongoing reforms under a USD 7 billion IMF bailout.
Location :Pakistan
First Published:News world China Comes To Rescue Of 'Iron Ally' Pakistan, Rolls Over $3.4 Bn Commercial Loan
