Senators concerned over growing Chinese loans to Pakistan under CPEC

Senate Committee on China-Pakistan Economic Corridor (CPEC) has showed concerns about Pakistan’s growing debts to China under CPEC.
Also, the members of the committee conveyed apprehensions of provinces that have arisen as a result of the capacity and coordination deficit of the current government.

The said parliamentary committee met for details on CPEC financing and debt uptake besides the benefits of the project for the Gwadar Port City.

That observed that China is charging only 2 to 2.5pc on government-to-government loans.

Most importantly, its repayment term goes into a long tenure.

PP Senator Sherry Rehman informed that sovereign guarantees also only required on government projects.

Furthermore, she noted current 21 ongoing projects worth $19 billion under the project.

She further informed that China still concerned about the current government’s seriousness about CPEC projects and to take it forward.

Senate CPEC debt concerns