- August 5, 2026
- Posted by: Tresmark
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Pakistan has requested China to refinance a USD 1.3 billion commercial loan, with the funds expected later this month once the terms are finalized, according to sources.
Discussions with Chinese authorities are underway to expedite the refinancing, which is expected to bolster Pakistan's foreign exchange reserves.
The request follows USD 2.2 billion in external debt repayments made by Pakistan in July, including repayment of the USD 1.3 billion Chinese commercial loan.
The refinancing comes as Pakistan seeks to meet external financing needs and support reserve adequacy amid ongoing debt servicing obligations. The Finance Ministry had not responded to requests for comment at the time of reporting.
