Pakistan likely to get financial assistance worth $2 billion from China: Sources

[Ali Tariq]

13 Dec, 2018

ISLAMABAD - PTI government expects the good news of financial assistance to come after the meeting of the Joint Coordination Committee (JCC), the highest forum of ChinaPakistan Economic Corridor (CPEC), this month.

According to sources, Pakistan may get at least $2 billion short-term loans from Chinaafter the said meeting of JCC, scheduled to commence from December 20 in Beijing. The short-term lending arrangement could be made with the Industrial and Commercial Bank of China Limited (ICBC), a Chinese multinational banking company. It is the largest bank in China and the largest bank in the world by total assets, deposits, loans, number of customers and number of employees.

According to sources at State Bank of Pakistan (SBP), during the visit of Prime Minister Imran Khan last month, the central bank was asked for a ‘situation analysis’ for the requested financial assistance. The bank has reportedly finalised the report which may also be discussed during the upcoming JCC meeting, they added.

China may extend help for Pakistan’s balance of payment under the CPEC framework, sources claimed.

 

[SunilM]

13 Dec, 2018

ISLAMABAD - PTI government expects the good news of financial assistance to come after the meeting of the Joint Coordination Committee (JCC), the highest forum of ChinaPakistan Economic Corridor (CPEC), this month.

According to sources, Pakistan may get at least $2 billion short-term loans from Chinaafter the said meeting of JCC, scheduled to commence from December 20 in Beijing. The short-term lending arrangement could be made with the Industrial and Commercial Bank of China Limited (ICBC), a Chinese multinational banking company. It is the largest bank in China and the largest bank in the world by total assets, deposits, loans, number of customers and number of employees.

According to sources at State Bank of Pakistan (SBP), during the visit of Prime Minister Imran Khan last month, the central bank was asked for a ‘situation analysis’ for the requested financial assistance. The bank has reportedly finalised the report which may also be discussed during the upcoming JCC meeting, they added.

China may extend help for Pakistan’s balance of payment under the CPEC framework, sources claimed.

Nope. This is the real story.

No BoP support: 15 billion yuan loans being negotiated with China


Pakistan is negotiating 15 billion yuan (approximately $ 2 billion) commercial loans with China after the latter refused to extend Balance of Payment (BoP) support during the recent visit of Prime Minister Imran Khan, well-informed sources told Business Recorder.

A technical team of Finance Ministry and the State Bank of Pakistan (SBP) recently visited China and discussed different modalities of loans and interest rate but the agreement has yet to be signed due to differences on interest rate and conditionalities, the sources added. Pakistan had sought $ 3 billion BoP support from China.

The Prime Minister has repeatedly stated that the package given by China is unprecedented whereas his Finance Minister, Asad Umar is on record saying that the balance of payment crisis is over, after the visit of the Prime Minister-led delegation to Saudi Arabia and China. However, on ground situation is far different from claims of Pakistani authorities.

Soon after the Prime Minister's high level visit, a technical team comprising Governor State Bank Pakistan, Tariq Bajwa and Secretary Finance, Arif Khan held discussions with the Chinese authorities in Beijing but the outcome of those negotiations remained fruitless. The meeting reportedly concluded in just 30 minutes with the Chinese official's attitude "not friendly".

An official on condition of anonymity told this scribe that "discussions are ongoing and progress is being made."

Another official said that there is zero progress on market access with China which implies that there is no hope in the near future.

The sources said, Saudi Arabia has extended deferred oil facility for three years but UAE has not yet responded to Pakistan's request of oil supply on deferred payment. Pakistan had sought similar facility from UAE as was extended by Saudi Arabia.

Another official told Business Recorder that the IMF Mission is expected to visit Pakistan mid of next month to finalise $ 8 billion program. The Mission is regularly exchanging communication with the Ministry of Finance.

The official further stated that the Fund's Mission would hold three rounds for a new program, of which two have already been undertaken. The Mission also got briefings individually from the concerned ministries and organisations

He acknowledged that the Mission has sought further clarifications from the GoP on revenue yield initiatives, real time exchange rate, privatisation and curtailment of current expenditure.

The sources said, the IMF was satisfied with the performance of the power sector as its revenue has increased by Rs 13 billion within four months due to a combination of reduction in losses and improvement in recovery.

Copyright Business Recorder, 2018

https://fp.brecorder.com/2018/12/20181205428568/

 

[Chakar The Great]

Nope. This is the real story.

No BoP support: 15 billion yuan loans being negotiated with China


Pakistan is negotiating 15 billion yuan (approximately $ 2 billion) commercial loans with China after the latter refused to extend Balance of Payment (BoP) support during the recent visit of Prime Minister Imran Khan, well-informed sources told Business Recorder.

A technical team of Finance Ministry and the State Bank of Pakistan (SBP) recently visited China and discussed different modalities of loans and interest rate but the agreement has yet to be signed due to differences on interest rate and conditionalities, the sources added. Pakistan had sought $ 3 billion BoP support from China.

The Prime Minister has repeatedly stated that the package given by China is unprecedented whereas his Finance Minister, Asad Umar is on record saying that the balance of payment crisis is over, after the visit of the Prime Minister-led delegation to Saudi Arabia and China. However, on ground situation is far different from claims of Pakistani authorities.

Soon after the Prime Minister's high level visit, a technical team comprising Governor State Bank Pakistan, Tariq Bajwa and Secretary Finance, Arif Khan held discussions with the Chinese authorities in Beijing but the outcome of those negotiations remained fruitless. The meeting reportedly concluded in just 30 minutes with the Chinese official's attitude "not friendly".

An official on condition of anonymity told this scribe that "discussions are ongoing and progress is being made."

Another official said that there is zero progress on market access with China which implies that there is no hope in the near future.

The sources said, Saudi Arabia has extended deferred oil facility for three years but UAE has not yet responded to Pakistan's request of oil supply on deferred payment. Pakistan had sought similar facility from UAE as was extended by Saudi Arabia.

Another official told Business Recorder that the IMF Mission is expected to visit Pakistan mid of next month to finalise $ 8 billion program. The Mission is regularly exchanging communication with the Ministry of Finance.

The official further stated that the Fund's Mission would hold three rounds for a new program, of which two have already been undertaken. The Mission also got briefings individually from the concerned ministries and organisations

He acknowledged that the Mission has sought further clarifications from the GoP on revenue yield initiatives, real time exchange rate, privatisation and curtailment of current expenditure.

The sources said, the IMF was satisfied with the performance of the power sector as its revenue has increased by Rs 13 billion within four months due to a combination of reduction in losses and improvement in recovery.

Copyright Business Recorder, 2018

https://fp.brecorder.com/2018/12/20181205428568/

Lol okay tiny Indian. DOnt worry about Pakistan.

The article that you posted is old. Dont fool people with your Pakistan obsession.

 

[Maxpane]

Good news

 

[Ali Tariq]

Lol okay tiny Indian. DOnt worry about Pakistan.

The article that you posted is old. Dont fool people with your Pakistan obsession.

Bhai, let him mastu**ate here or else his frustration will force him to ra*e someone.

 

[SunilM]

And now lets again look at Iron Brother is treating its smaller bro.

"Pakistan is negotiating 15 billion yuan (approximately $ 2 billion) commercial loans with China after the latter refused to extend Balance of Payment (BoP) support during the recent visit of Prime Minister Imran Khan, well-informed sources told Business Recorder.

A technical team of Finance Ministry and the State Bank of Pakistan (SBP) recently visited China and discussed different modalities of loans and interest rate but the agreement has yet to be signed due to differences on interest rate and conditionalities, the sources added. Pakistan had sought $ 3 billion BoP support from China.

The Prime Minister has repeatedly stated that the package given by China is unprecedented whereas his Finance Minister, Asad Umar is on record saying that the balance of payment crisis is over, after the visit of the Prime Minister-led delegation to Saudi Arabia and China. However, on ground situation is far different from claims of Pakistani authorities.

Soon after the Prime Minister's high level visit, a technical team comprising Governor State Bank Pakistan, Tariq Bajwa and Secretary Finance, Arif Khan held discussions with the Chinese authorities in Beijing but the outcome of those negotiations remained fruitless. The meeting reportedly concluded in just 30 minutes with the Chinese official's attitude "not friendly".

An official on condition of anonymity told this scribe that "discussions are ongoing and progress is being made."

Another official said that there is zero progress on market access with China which implies that there is no hope in the near future."

 

[Dubious]

@Syed1. Control! Answer with intellect

 

[Abdussamad]

China has its own tax evasion problem. One reason people don't pay taxes is spending on BRI projects. They say the money should be spent in China instead. So when we go asking them for a bailout we have to consider how it looks to ordinary Chinese.

 

[Baby Leone]

lol what assistance? its just loans with mark ups

 

[AZ1]

lol what assistance? its just loans with mark ups

you want free go in PMLN jalsa there you will have free khota briyani and naan keema. In real world nothing is for free from other country.

 

[Baby Leone]

you want free go in PMLN jalsa there you will have free khota briyani and naan keema. In real world nothing is for free from other country.

then use appropriate words not assistance but loans....this stupidity of calling every thing coming to Pakistan as Aid or assistance is insulting for Pakistanis when in actual every thing is loan or reimbursements.

 

[AZ1]

then use appropriate words not assistance but loans....this stupidity of calling every thing coming to Pakistan as Aid or assistance is insulting for Pakistanis when in actual every thing is loan or reimbursements.

aid is help when you need it thats why word aid/assistance is been used. Not every country willing to give out loans when Pakistan needed it.

 

[Baby Leone]

aid is help when you need it thats why word aid/assistance is been used. Not every country willing to give out loans when Pakistan needed it.

still if you have little self respect left and you know that we have to pay it back with mark ups you would call it loan not Aid.

learn the definition of Aid pls.

this is the reason why world call us beggars even when we are paying back.

learn how to make good image of us.

 

[AZ1]

still if you have little self respect left and you know that we have to pay it back with mark ups you would call it loan not Aid.

learn the definition of Aid pls.

this is the reason why world call us beggars even when we are paying back.

learn how to make good image of us.

Changing word will not chamge anything. Loan is itself is a financial assistance when your country will be bankrupt. If not for China or Saudia dont know what gonna happen with economy of Pakistan by now. These are actual financial aid to Pakistan in time of urgent needs and between country nothing is for free.

To pakistan its a financial aid and for china its an loan. Mutual interest.