In good news for Pakistan, China’s Exim Bank has given them some extra time to pay back a $2.1 billion loan that was due last week. This extension is a big relief for Pakistan, which is facing a serious financial crisis and struggling to manage its expenses.
The Chinese bank sent a letter to the Pakistani government, letting them know about the loan rollover. During this time, Pakistan won’t have to pay any interest, and they have two years to start repaying the loan’s main amount. The Chinese bank is even willing to extend the repayment period until June 2025.
This is not the first time China has helped Pakistan with its debts. Before this, the State Bank of Pakistan announced that China had rolled over a $1 billion loan, which also provided much-needed relief to the country in crisis. Pakistan has a lot of debts from other countries, and China’s support has been crucial in helping them manage their financial challenges and budget problems.
Pakistan and China have a strong economic relationship and friendship. China has been an important supporter of Pakistan’s financial stability during tough times. As Pakistan faces economic difficulties, the continued support from China and other friendly countries is vital to keep the country strong and growing.
