Pakistan secures moratorium on debts repayment from Paris Club

Pakistan secures a moratorium on debt repayments from the Paris Club as G20 countries make effort to ease the economic impact of the coronavirus crisis on the developing countries.

In mid-April, the G20 and the Paris Club agreed to waive most debt payments for the world´s poorest countries in 2020, as sweeping virus lockdowns upturned the global economy.

According to the Paris Club, the total amount deferred to date is around $1.1 billion, plus the deferment of pre-existing arrears.

The Paris Club is a group of officials from major creditor countries whose role is to find coordinated and sustainable solutions to the payment difficulties experienced by debtor countries

The leading economies of G20 and the Paris Club agreed last month to freeze the debt payments of the 77 poorest countries this year to free up cash for them to fight the coronavirus pandemic.

Read more: Pakistan expected to get Paris Club Debt Relief

77 countries with a combined debt of $36 billion are eligible for the moratorium this year.

Earlier, Prime Minister Imran Khan had appealed to the leaders of rich countries, the UN secretary general and heads of financial institutions to give debt relief to developing countries like Pakistan so that they could combat the deadly COVID-19 in a better way.