The federal government has formed a high-level committee comprising key federal ministers to negotiate the rescheduling of $15 billion energy debt owed to China, high-level sources told ProPakistani.
The committee includes the Minister of Finance, the Minister of Energy, the Minister of Economic Affairs, and the Secretary Finance Division.
A sub-committee has also been formed which includes representatives from the Central Power Purchasing Agency (CPPA), Private Power and Infrastructure Board (PPIB), bank officials, and Chinese representatives. This sub-committee is tasked with developing proposals for the debt rescheduling of Chinese energy projects within four weeks.
After receiving the subcommittee’s recommendations, the main committee, led by Finance Minister Muhammad Aurangzeb, will conduct a two-week review. The final recommendations will then be submitted to Prime Minister Shehbaz Sharif.
If the recommendations are approved by the Prime Minister, they will be presented to the federal cabinet for final confirmation. Potential proposals may include extending the loan installment terms or other financial arrangements.
Following the cabinet’s approval, China will be formally informed of the agreed-upon rescheduling plan.
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