China's bank approves $700m in financing for Pakistan

 ISLAMABAD: The China Development Bank has authorised $700 million in funding for Pakistan, Finance Minister Ishaq Dar announced on Wednesday.

Pakistan hopes to restructure its Chinese debt totaling $2 billion by the end of February or the first week of March 2023.

Pakistan is in a severe balance of payments crisis and must obtain the $1 billion tranche from the IMF as part of the $6.5 billion Extended Financial Facility (IMF).

The international lender made it a condition that Pakistan find new sources of outside funding.

In addition, the IMF is pressing Pakistan to raise its policy rate and apply new power levies.

Pakistan hopes to restructure its Chinese debt totaling $2 billion by the end of February or the first week of March 2023.

Pakistan is in a severe balance of payments crisis and must obtain the $1 billion tranche from the IMF as part of the $6.5 billion Extended Financial Facility (IMF).

The international lender made it a condition that Pakistan find new sources of outside funding.

In addition, the IMF is pressing Pakistan to raise its policy rate and apply new power levies.