Bank of China provides $300 million loan to shore up Pakistan’s foreign exchange reserves in June 2023 (Linked to Record ID#97792)

Project narrative

In June 2020, Bank of China provided a $300 million loan to the State Bank of Pakistan to shore up the country’s foreign exchange reserves (as captured via Record ID#97792). The original borrowing terms of the loan included a 3 year maturity (final maturity date: June 2023), a 3 year grace period, and an interest rate between 6-month LIBOR plus a 2.93% margin. The loan was repaid in full on June 26, 2023. Then, on June 13, 2023, Bank of China and the State Bank of Pakistan signed a $300 million rollover loan agreement to shore up the country’s foreign exchange reserves (as captured via Record ID#97898). The loan carried a 2-year maturity and an interest rate of 3-month SOFR plus a 3.5% margin.