According to the Pakistani newspaper “Don,” China and Saudi Arabia have confirmed providing $ 13 billion in financing for Pakistan, which is currently battling to recover from devastating floods and is subject to financial injustice.
Following Pakistani Prime Minister Shahbaz Sharif’s recent trip to Beijing, the newspaper cited Pakistani Finance Minister Isaac Dar as saying that China had agreed to transfer four billion dollars in the form of sovereign loans to the South Asian nation, as well as re-fund another amount worth three billion dollars in the form of loans to commercial banks and increase Currency exchange facilities to one.45 billion dollars.
Pakistan is one of a number of developing and frontier markets that are battling to manage their debt loads, the value of their currency relative to the US dollar, and the high borrowing costs.
Climate change made its issues worse, which made the floods worse, which led “Moody’s” investor services to downgrade the state’s categorization to a low category.
According to the story, a source told reporters that Saudi Arabia “also offered a favourable response” to Pakistan’s request for an additional three billion dollars in cash and to increase the cost of its delayed oil facilities to $1. 2 billion.
Saudi Arabia and China confirm a $13 billion loan to Pakistan.
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