China and Kuwait assure Pakistan of $4.3bn loan rollovers
Official lenders still offer softer terms than private markets, and China remains the largest single creditor, as China and Kuwait assure $4.3 billion in loan rollovers.
Foreign loans rose 97% in a decade, from $68.7 billion in 2015 to $135.1 billion in 2025, according to the World Bank's International Debt Report 2026.
China is the largest single creditor at $22.4 billion, ahead of the World Bank at $19.2 billion.
Official loans carry an average interest rate of 3.6%, while private credit averages 8.6%.
Sources in the Ministry of Finance say China and Kuwait have assured $4.3 billion in loan rollovers.
Pakistan faces about $21 billion in external debt repayments this fiscal year, and the IMF is expected to disburse $1.21 billion in December.