Hafeez favours debt rescheduling at G-20 forum, sees negative 1.5 pc growth in FY20.

ISLAMABAD -- Amid growth projections of negative 1 to 1.5 percent for Pakistan, Adviser to the Prime Minister on Finance and Revenue, Dr. Abdul Hafeez Shaikh said Monday that poorer countries genuinely need to be favoured through debt rescheduling at the G-20 forum to provide them relief to deal with Covid-19 (Coronavirus) challenges.

'Pakistan's firm stance in favor of debt rescheduling drive at the G-20 forum was based on the belief that the poorer countries genuinely require this assistance, though Pakistan specifically had benefited lesser from the said relief,' the advisor said.

He was talking to Ambassador of Germany, Bernhard Stephan Schlagheck, French Ambassador Dr. Marc Barety and Economic Counselor, Anais Boitiere, who called on the Adviser here at the Finance Division.

The Ambassadors then discussed with the Adviser the details of the debt rescheduling offered by G-20 countries and the need for any further loans.

Hafeez Shaikh also shared that $1.8 bn worth of loans due on Pakistan have been rescheduled including those from China, KSA and UAE counties.

He said that Pakistan was not going for any commercial loan rescheduling until now, adding that the Finance Division would adhere to the requirements of Debt Limitation Act before planning to take up additional burden as most of the loans would be for the purpose of clearing old debt stocks.

He...