China sends Pakistan $700m to shore up reserves

The Board of China Development Bank has sent the facility of 700 million dollars to Pakistan, 24NewsHD TV channel reported on Friday. 

Federal Finance Minister Ishaq Dar also confirmed the receiving of the amount by the State Bank of Pakistan which will shore up its forex reserves by about 20%.  

Taking to the Tweet, he penned, “Funds $ 700 million received today by State Bank of Pakistan from China Development Bank.”

AlhamdoLilah!

Funds $ 700 million received today by State Bank of Pakistan from China Development Bank. https://t.co/7eLwWkSFgO

— Ishaq Dar (@MIshaqDar50) February 24, 2023

Pakistan has been facing a dire balance of payment crisis and needs to secure the $1 billion tranche under the $6.5 billion Extended Fund Facility from the International Monetary Fund (IMF).

This is yet another step by China to help Islamabad recover from an economic crisis.