ISLAMABAD: Federal Minister for Water and Power Khawaja Asif said that China intends to invest 34 billion dollars in Pakistan as Foreign Direct Investment (FDI) and not as a loan.
“Chinese companies aim to invest $34 billion in different projects, while Chinese banks EXIM and China Development Bank would finance these companies,” Asif said while addressing a press conference called to respond to the allegations levelled by PTI Chief Imran Khan.
Khan during his daily addresses from atop his container has repeatedly stated that Chinese President was set to sanction 34 billion dollars loan during his postponed visit to Pakistan and it would be ultimately paid by the nation.
Chinese President Xi Jinping’s visit to Pakistan was postponed, as the Chinese intelligence delegation, during its recent visit to Pakistan, had not given clearance for the visit mainly due to the instable political situation in the country.
This amount will not reflect on the balance sheet of the country and will not be our liability; it would be borrowing of companies for example in IPP mode, it would be a liability of companies installing power houses, Asif explained.
“The PPA would sign the agreement and the guarantee, which serves as a sovereign guarantee from the state”, he said while fumbling with his papers.
K-Electric faces severe crisis as banks decline further financing
KARACHI: K-Electric, the sole distributor of electricity in Karachi, is facing a severe monetary crisis as banks have halted new...
