Active Development AidData Chinese Aid

China Eximbank participates in $650 million syndicated loan with Pakistan’s Ministry of Finance in June 2017 to shore up foreign exchange reserves

$65M USD

Funder	Export-Import Bank of China (China Eximbank)
Recipient Organization	Government of Pakistan
Country	Pakistan
Start Date	Jun 07, 2017
End Date	Oct 05, 2026
Duration	3,407 days
Number of Grantees	1
Roles	Recipient
Data Source	AidData Chinese Aid
Grant ID	`105796`

Grant Description

China Eximbank and ICBC contribution to $650 million syndicated loan with Pakistan’s Ministry of Finance in 2017 On June 7, 2017, Pakistan’s Ministry of Finance signed a $650 million syndicated loan agreement with 10 banks, including Emirates NBD, Credit Suisse, the Export-Import Bank of China, First Abu Dhabi Bank, Habib Bank, the Industrial and Commercial Bank of China (ICBC), and United Bank.

📋 Loan / Grant Terms

💰 Loan Amountcarried a 1

📅 Maturity1.5 years

The borrower was expected to use the proceeds of the loan to shore up the country’s official foreign exchange reserves.

📋 Staff Comments

The exact monetary value of China Eximbank’s contribution to the syndicated loan is unknown. For the time being, AidData assumes equal contributions ($65 million) across the ten known members of the syndicate. This issue warrants further investigation.
For loan and debt rescheduling records with variable interest rates, AidData calculates the all-in interest rate at T0 based on the reference rate (such as LIBOR or EURIBOR) on the loan start date, plus any known margin. Please see the methodology for additional details.
One source (https://www.dropbox.com/scl/fi/jg6inc3i389sb1qvf75pc/Pakistan-Sri-Lanka-fuel-sovereign-loan-push.pdf?rlkey=9tkpo1tbjtpiajxnzfv3s2rfk&dl=0) indicates that 13 banks and 4 Chinese banks (including Bank of Zhengzhou) participated in the syndicate. This issue warrants further investigation.
The Government of Pakistan loan identification number is SUISSE-2017.
The loan was scheduled to mature in December 2018. However, no official source has yet been identified confirming full repayment. Pending further evidence, project status remains coded as Implementation.

📚 Sources & References

Chapter 09 Public Debt Pakistan Economic Survey 2023-24
Pakistan signs up 10 for $650m financing
Govt takes $450m loan to prop up sliding forex reserves
The outstanding banks on Asia's frontiers
Pakistan sovereign returns for $450m loan
Credit Suisse Announces Head of Syndicate for Southeast Asia in its Asia Pacific Financing Group
Pakistan
Sri Lanka fuel sovereign loan push
Final PCP Year Book Loan applications and disbursements are still being received and processed as the projects continue to evolve. Ongoing monitoring and evaluation are in place to ensure project continuity.