Pakistan’s dollar bonds rallied by over 4 points across the curve as the nation secured ~$13bn in additional financial aid from its China and Saudi Arabia, as per its Finance Minister Ishaq Dar. He said that Pakistan is set to receive ~$9bn from China and $4bn from Saudi Arabia on top of assurances for about $20bn in investments. He said that China promised to roll over $4bn in sovereign loans, refinance $3.3bn in commercial bank loans and increase its currency swap facility by $1.45bn. Regarding Saudi Arabia, he said that they acceded to its request for increasing financing from $3bn to $6 billion and doubling its deferred oil facility of $1.2bn. This provides Pakistan some relief amid the financial pressures caused by floods and its efforts to reschedule $27bn of its bilateral debt with various non-Paris Club countries.
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