Pakistan, Feb. 24 -- In an effort to tackle the country's Rs2.381 trillion circular debt, government officials are in discussions with banks to finalize the term sheet for borrowing Rs1,240 billion, The News reported on Monday.
According to top officials familiar with the matter, the discount rate has dropped from 22% to 12%. "Further reductions are expected in the coming months, and authorities aim to capitalize on this by securing Rs1.242 trillion in borrowing," said an official. Talks are underway with banks to finalize the term sheet before the arrival of the International Monetary Fund (IMF) mission.
This development coincides with two upcoming IMF missions to Pakistan. The first will focus on climate finance discussions, while the s...