copyrightChina will come forward to save Pakistan, will pay 2.1 billion dollars by Monday
|China will come forward to save Pakistan|
State Bank of Pakistan (SBP) will get a loan of 15 billion yuan (about $ 2.1 billion) till Monday. This is good news for Pakistan, but in such a way, Pakistan is now stuck in the debt trap of China.
According to Dawn of Pakistan newspaper, Khakkan Najeeb Khan, advisor and spokeswoman of the Finance Ministry, said that all the formalities have been completed for the $ 2.1 billion loan received from China. He said that the amount will be deposited in the State Bank of Pakistan account by March 25. The spokesman said that this loan will strengthen foreign exchange reserves and ensure the balance of payment stability will be ensured. Earlier, as a help to Pakistan, it has also received one billion dollars from Saudi Arabia and United Arab Emirates.
It is noteworthy that after meeting between Chinese Premier Li Keqiang and Pakistani Prime Minister Imran Khan in Beijing in November 2018, China had said that it wants to help Pakistan to get out of its financial crisis. But this is how it is being considered.
China's Council General Long Dingbin had earlier said during an interview that China has been investing in many sectors of its place rather than giving loan to him to accelerate the economy of Pakistan and many business ventures are being started. But in February this year, Chinese Foreign Ministry spokesman Lu Kang had admitted that China would further extend the financial help given to Pakistan.
Pakistan's dependence on China is growing at a time when the US is cutting back financial aid to Pakistan. However, China does not look forward to supporting Pakistan's economy. Due to the Chinese-Pakistan Economic Corridor (CPEC) being built under China's grand scheme belt and road, there is a need for strong political and military partnership between the two countries. China has already trapped Sri Lanka in its debt trap. Now Pakistan is also stuck in its debt trap.
Imran Khan has got the will to hold the Pakistan Treasury in will, which is suppressed by the burden of foreign and domestic debt. Apart from this, due to unbalanced trade, Pakistan faces a serious balance of payment problem. At the same time, the IMF has refused to help Pakistan, the foreign exchange reserves, the current account and trade deficit have become a challenge for the new government.
Rating agency Fitch said that in 2019 Pakistan's economic problems and will start moving toward increasingly serious.