Pakistan to pay back $100 bn to China by 2024

[Yaseen1]

it will be adjusted with cpec toll revenue

 

[Baby Leone]

and suddenly Indians becomes so much concerned about Pakistan that they have to make a thread on it....shows usual mentality......they are not interested to make threads on what Pakistan is getting in development but on it...lolz

Indians will help us pay ..

lol they already have mountain of more then 480 billion $ to pay which might double till 2024

you are expecting a begger to bail you with her begging money from Japan?

 

[Sankpal]

So posting a news article from Pakistani source is wrong.. instead of discussing on topic, you are abusing op and country .. @Oscar @WebMaster

Did you understand what I meant to say?

 

[Qutb-ud-din Aybak]

None of those 100 billion dollars will be paid by Pakistani government.
this money was taken by chinese companies from chinese banks for investment in Pakistan and CPEC. Chinese companies are responsible to pay them back.



https://www.thenews.com.pk/print/233333-Pakistan-to-pay-back-100-bn-to-China-by-2024

Pakistan to pay back $100 bn to China by 2024

ISLAMABAD: Pakistan has to payback $100 billion to China by 2024 of total investment of $18.5 billion, which China has invested on account of banks’ loan in 19 early harvest projects mostly relating to energy sector under China Pakistan Economic Corridor (CPEC).

The sources in Chinese Embassy told ‘The News’ that loans which China had given to Pakistan were considered as concessional loans, having special subsidy from the Chinese government. These loans are not the burden on Pakistan economy, as these constitute only 1.1 percent of total Pakistan foreign debt.

The sources said that Chinese financial assistance to Pakistan made a big contribution in strengthening Pakistan’s economy. Four years back GDP of Pakistan was 3.6 but now it reached 5.2, this reflected the fact that CPEC has played a major role in the economy of the country,” sources added.

Embassy’s sources further said that Chinese companies working in Pakistan has taken loans from Chinese banks for different development projects under CPEC and these companies are responsible for paying back loans not the Pakistani government.

The sources further said that China is also providing free assistance to some high-profile projects like construction of Gwadar Port, motorway linking Gwadar Port, schools and emergency health care centers etc. In future, China has planned to build more emergency healthcare centers in different parts of the country.

So far there are around 20,000 Pakistani students getting education in China. A large number of them are on Chinese government scholarships. CPEC also contributed in overcoming unemployment problem in Pakistan. As many as 60,000 Pakistanis got jobs in CPEC-related projects and 24,000 people got direct employment in different projects of CPEC. The sources said that in the next phase, china will focus to build industrial parks, which will bring not only Chinese but also other countries’ investment to Pakistan.


Obaid Abrar Khan
September 29, 2017

 

[Awan68]

Lol, this is bullshit but even if it was true with the passage of time sary karzay cheen se maaf karwa len gay hum for continued friendship and strategic relations and so forth, india should worry up the shit they keep shoveling under their carpet, they will trip over it one day....

 

[GeraltofRivia]

I have read the article through but failed to understand how the author has come up the $100b figures. Majority of the CPEC projects are on BOT basis, typically over a 30 years period. There is no "payback" as such like a normal commercial loan.

also since when "source" can be used as legitimate basis of information?

 

[Awan68]

Lol, this is bullshit but even if it was true with the passage of time sary karzay cheen se maaf karwa len gay hum for continued friendship and strategic relations and so forth, india should worry about .

the shit they keep shoveling under their carpet, they will trip over it one day....

 

[H!TchHiker]

I have read the article through but failed to understand how the author has come up the $100b figures. Majority of the CPEC projects are on BOT basis, typically over a 30 years period. There is no "payback" as such like a normal commercial loan.

also since when "source" can be used as legitimate basis of information?

Unfortunately, the OP might have no knowledge what comprised"BOT" and its modus operandi...including the esteemed journalist i believe (having degree in Journalism with no knowledge how economic model works)..To laugh he is quoting it comprise 1.1% of total foreign debt....Another member already pointed out what it means..

I am waiting for the auction,we will bid for the nukes

Genius , at-least do inform us with the calculation of this 100 billion? and total foreign debt of Pakistan..

 

[Max]

You mean to say, if you start feeling hungry then go for vegetables shopping so that you can able to prepare your food

I would prefer to prepare food on time so that if I feel hungry that i can enjoy my food.

no i mean why waste time on worthless illogical shit.

https://www.facebook.com/video.php?v=10154240890436078

Ahsan Iqbal is Minister of interior, Planning and reforms, and in charge of CPEC from Pakistani side.

 

[Dr Shaheryar]

When did we take 100 Billion for it to be payable. Also the loans taken are long term loans and also on investment basis. These will boost up the economic situation which will help the loan settlement. By the way we have 65 Billion worth of projects going on for CPEC. Not 100 Bn.

 

[Nalini]

and suddenly Indians becomes so much concerned about Pakistan that they have to make a thread on it....shows usual mentality......they are not interested to make threads on what Pakistan is getting in development but on it...lolz


lol they already have mountain of more then 480 billion $ to pay which might double till 2024

you are expecting a begger to bail you with her begging money from Japan?

Both our Debt to GDP ratios are almost same 66 % & 69% of GDP.

But proportionately your imports have increased much wider than India. You are importing almost everything from Electrical & electronic equipment, Machinery, Iron & Steel, Organic Chemicals, Railways, automobiles, Mineral fuels, Distillation products, Animal, Vegetable fats, Boilers. Most of these things India doesn't import. And you have crude oil import.

Our major Import is crude oil, which drains our forex near 70% of our earnings. Gold is near 15%. So this is not at all a big concern in the long run.

Because we can ban or cut down Gold Imports to stop forex outflow & also have the existing Gold to sell anytime to convert to ready cash. India is the among the largest Importer of Gold in the world & has near 560 tonnes of Gold in its reserve. Regarding oil, the dependency will be cut below 60% in the next 10 years. So this huge forex bills are going to be totally eliminated. Petrol & diesel cars will be phased out from 2025 & totally stop by 2030 . Check link below

Also we are spending heavily on arms & Military equipment right now. The Military import bills from 2019 will come down every year & Military export earnings will go up. Just wait & watch, we are already starting with smaller countries. After 2025 these Military bills will be cut off by 70%, because we have already initiated everything to be made in India.

Coming to Forex reserves, we have 402 Billion dollars in our reserve & If we wish to clear our debts, we can clear near 85% of the debts with our reserves even today. So our remaining is only 15%. This 15% also can be cleared by selling the Gold reserves if we want right away. So our liquidity is quite good & we are no where in crisis.

India is giving loans to many smaller countries, but Pakistan is taking loans from IMF & other countries.

Pakistan's reserves is buffered by loans. The actual is around 14 billion Dollars. Anyway even if you take the 21 Billion which is displayed, you can hardly pay 25% of your debt leaving 75% exposed with no money. Moreover your debt servicing & loan repayment rates are far far higher than India's. You will be in a crisis by 2020 & a war after that with India will ensure your disintegration & collapse for sure.

 

[Dr Shaheryar]

your Military spending's are going to go up. And most of your equipment will be imported. Mainstay for Fighter jets and related stuff. For us import bill was high due to heavy machinery being imported. This bill will go down gradually as more and more projects of CPEC will start coming online. Different ball game. No comparison of needs.

 

[Nalini]

your Military spending's are going to go up. And most of your equipment will be imported. Mainstay for Fighter jets and related stuff. For us import bill was high due to heavy machinery being imported. This bill will go down gradually as more and more projects of CPEC will start coming online. Different ball game. No comparison of needs.

India Military exports has almost tripled under Modi from INR 11.53 billion (USD 179 million) in financial year (FY) 2013-14 to INR 20.59 billion (USD 319 million) in FY 2015-16. The current Government of India (GoI), which is now in its third year of governance, has set a target of exporting Indian defence goods worth USD 200 million by the time its tenure ends in 2019. This means a six-fold increase over the current level of India’s defence exports

Interestingly enough, the increase that the Indian defence has seen in exports happened despite two-thirds of its items being removed from the military goods list. India now has bridging equipment, missiles, warships, Off-Shore Patrol Vessels (OPVs) and Self Propelled Artillery Guns (SP Guns) on its list of export items.

"India has developed a lot of equipment and technologies but no one really applied their mind to export them before," because Exporting defence equipment will have diplomatic ramifications. For instance, Pakistan is likely to be unhappy with India exporting defence platforms to Afghanistan. Similarly, Indian-made warships and missiles in the Vietnamese armory are likely to unsettle Beijing. These reservations kept previous Gov.t's from exports to other countries. But now, we are not bothered of others or their regional or internal reservations. We have to feed our people & also if we get more sales, it speeds up our research & improving our technology.

There also has been lot of corruption in the Military Establishment, who are paid by foreign players to reject Indian arms & kick backs paid to these officials for approving foreign arms. This has damaged our Indian arms manufacturers & deprived them to get money for further development. It will take time to change, but this Gov.t is still working on cleaning up the mess & corruptible approach. If Modi retains power in next election 2019, things are going to be drastically re-constructed & reformed. The ground work for indigenisation is already on with Make in India. Only if congress comes to power, these old mindset & corruption is going to prevail.

By 2020, most of the latest tech armaments required to combat the existing threat, will already be in the armed forces like Submarines, Aircraft carriers, Fighter jets, Drones, Howitzers, Assault Rifles, Missile Defense, Engines, seekers, etc. We are also building closer relations with US, Japan, Vietnam & Russia to balance the Chinese threat. Pakistan is not at all a threat, we can easily counter this front. So there won't be need to procure any latest technology for next 10 years. And by that time we are planning to build our own technologies.

Though we can develop all the modern technologies on our own, we are quite behind & will take minimum 15-20 years to catch up with the technology of Russia, US & west. We are willing to pump in money to bridge this time lag by joint development & foreign partnership with TOT, so as to be able to create latest technologies & be competent along with the existing players.

Definitely we are miles ahead of Pakistan in Helicopters, Missiles, Heavy Guns, Rifles, Radars, Space, Satellite & intelligence technologically.

We have tripled our Military exports in last 3 years. It's only going to increase. By 2025 we are confident to cut our Military spending by 50-70%.

Anyway we are already managing our economy reasonably well. The topic is about Pakistan's debt & I have given a clear economic break up & explanation where both countries stand. You cannot deny with statistics I provided in previous post, your country is far vulnerable than India. You are heading for a collapse & China is already Pakistan's biggest importer. 30% of imports are from China & it will only increase as you give them more inroads. They will sabotage all your remaining manufacturing. China is enough to suck all your money & sink you by dumping their cheap products & debt trapping. You already have around 14 Billion $ Balance of trade payments every year with China alone.

 

[rambro]

A waiver is not unheard of, they have done it before. :3

 

[utraash]

Itsmas if like gangoss have to pay for is our behalf. Damn the crying bitchin gangoos

If dwellers of Indus can open a thread about predicament of Indian economy then it's incumbent upon us to open the eyes of westside benders.