Finance minister Ishaq Dar said on Friday that China had rolled over a $2 billion loan that matured last week, providing relief during the nation’s acute balance of payment crisis.

Locking in a rollover had been critical for Pakistan, where reserves have dipped to just four weeks’ worth of imports and talks over an IMF bailout tranche of $1.1 billion have hit a stalemate.

“I am happy to confirm that this had been rolled over on March 23,” Dar told the Senate, referring to the maturity date. He said all concerned documentation had been completed.

Neither the government in Beijing nor the Chinese central bank responded to requests for comment on the rollover.

Dar’s comments were the first official announcement of the rollover after the loan matured. Dar did not give the new maturity date or other terms of the arrangement.

A top finance ministry official told Reuters on Wednesday that a formal confirmation of the refinancing would be made after the process was completed.

Islamabad has been negotiating with the IMF since early February for the release of $1.1 billion from a $6.5 billion bailout package agreed in 2019. One of the IMF’s conditions for the release of the tranche is assurance of external financing to fund Pakistan’s balance of payments.

Longtime ally Beijing is the only help Islamabad has got so far, with refinancing of $1.8 billion credited last month to Pakistan’s central bank.

Follow Dawn Business on X, LinkedIn, Instagram and Facebook for insights on business, finance and tech from Pakistan and across the world.

Opinion

Editorial

Lull in fighting
28 Jul, 2026

Lull in fighting

AFTER two weeks of escalating violence, the US has halted its strikes on Iran, with Tehran also silencing it guns....
Water policy
28 Jul, 2026

Water policy

THE country is caught in a crisis where there too much water at the wrong time and too little when it is most ...
Ending hepatitis
28 Jul, 2026

Ending hepatitis

WORLD Hepatitis Day is being observed under the theme ‘Hepatitis: Let’s break it down’, a call to remove the...
Writing on the wall
27 Jul, 2026

Writing on the wall

EVERY few months, another set of figures reminds Pakistan of a painful reality. Sahil’s latest Six Months Cruel...
Still unprepared
27 Jul, 2026

Still unprepared

EVEN as Pakistan counts around 100 deaths since the onset of the monsoon season on June 26, it is bracing for ...
Delayed devolution
27 Jul, 2026

Delayed devolution

THE debate over Islamabad’s reluctance to fully let go of devolved subjects has been running since 2010. But it ...