Monday, March 4, 2024

Japan agrees to suspend Pakistan’s debt payment of $200 Million.

As part of the second phase of the G20 Debt Service Suspension Initiative, the governments of Pakistan and Japan agreed on a debt deferral worth roughly $200 million on Friday (DSSI).

“I am aware that Pakistan’s COVID-19-affected economy is on a good recovery road, including the likelihood of higher GDP growth,” said Ambassador H.E. MATSUDA Kuninori, who is about to be transferred to the Japanese Embassy in Ukraine after nearly three years in Pakistan. The 70th anniversary of diplomatic relations between Japan and Pakistan will be commemorated next year. On the foundation of Japan’s development cooperation in recent decades, I fervently hope that a new chapter in our friendship’s history would be carved.”

Prior to this, both governments agreed to a $370 million debt deferment on April 27, 2021, as part of the G20 Debt Service Suspension Initiative (DSSI). The entire amount of deferred debt has risen to almost US$570 million, giving the Pakistani government more fiscal room to rebuild its economy after the COVID-19 outbreak.

Related Articles

Latest Articles