ISLAMABAD, November 5, 2026: China and Kuwait have assured Pakistan of rolling over a combined $4.3 billion in loans, providing prospective relief to the country’s external financing requirements and foreign exchange reserves, according to sources in the Ministry of Finance.
The assurances include a $4 billion loan rollover from China and $300 million from Kuwait. Together with Saudi Arabia’s commitments, the total amount of loan rollovers expected from the three countries has reached $7.3 billion.
Finance Ministry sources said the arrangements would help Pakistan manage its external repayment obligations and ease pressure on foreign exchange reserves during the current fiscal year.
China’s $4 billion loan is expected to be rolled over in March 2027, while the financing arrangements involving China, Kuwait and Saudi Arabia are expected to cover approximately one year.
The sources said Pakistan faces around $21 billion in external payment obligations during the current fiscal year, including the $7.3 billion covered by the anticipated rollovers.
The commitments are significant because loan rollovers allow Pakistan to extend repayment deadlines on existing liabilities rather than immediately repay the amounts from its foreign exchange reserves.
However, the arrangements do not represent fresh loan disbursements. They would instead provide temporary financing relief by postponing repayment obligations.
The reported assurances come as Pakistan continues efforts to secure external financing and maintain stability in its balance of payments.
Separately, the finance minister has indicated that Pakistan expects to receive a further $1.21 billion tranche from the International Monetary Fund (IMF) in December 2026.
The anticipated IMF disbursement would provide additional external financing support, subject to the programme’s applicable approval and disbursement requirements.
Finance Ministry sources expressed optimism that continued financial cooperation with China, Kuwait and Saudi Arabia, alongside expected IMF support, would help strengthen Pakistan’s external financial position.
The expected rollovers and multilateral financing are part of Pakistan’s broader efforts to manage debt repayments, preserve foreign exchange reserves and maintain confidence in the country’s economic outlook.