Pakistan seeks debt relief worth $1.87bn from G20 countries

ISLAMABAD: Pakistan formally seeks debt relief worth $1.87 billion for a period of one year from G20 countries, affirmed a top official of the Finance Division.

On the other hand, the G20 is deliberating to either suspend the outstanding debt payments or provide fresh financing as a relief to the developing nations.

Prior to this, a significant relief initiative by the World Bank was launched on May 1. Under the initiative, the World Bank has extended support to 93 countries with health projects related to COVID-19. The financial institution will also include 18 additional countries under the programme.

While briefing on the matter, the World Bank President David Malpass said it marked the start of a debt payment suspension by the International Development Association (IDA) countries, if they requested forbearance.

In a joint effort, the World Bank and the International Monetary Fund approached the official bilateral creditors, asking them to grant debt suspension to the countries eligible for International Development Association (IDA) financing to help the developing nations amidst the COVID-19 breakout.

For news and blogs, visit Graana.com.