Today: 4 July 2025
10 March 2022
2 mins read

Chinese firm urges Pak govt to release Rs 12.35 bn dues

The company also demanded the clearance of the amount before March 24 since the approval of foreign exchange conversion from the State Bank of Pakistan for making payment to the lender takes time….reports Asian Lite News

A state-owned Chinese firm registered in Pakistan has expressed concern over delay in their payment and asked the Pakistan Ministry of Energy (power division) to release Pakistani Rupees (PKR) 12.35 billion as Transmission Service Payment.

The China Electric Power Equipment and Technology Co Ltd (CET), registered in Pakistan as Pak Matiari-Lahore Transmission Company Private Limited (PMLTC), has expressed their concern at this issue. The companies also asked the ministry to prioritise this issue, Pakistani newspaper Dawn reported on Wednesday.

But National Transmission & Despatch Company (NTDC), on other hand, claimed that no payment is pending on its part.

In a recent letter to energy minister Hammad Azhar, the company explains that it has received the TSP for September to November 2021 and a partial payment of 19.46 per cent for the month of December 2021.

It also informs the minister that in accordance with the Transmission Service Agreement (TSA), by the beginning of March 2022, the companies should have received the TSP from September 2021 to February 2022 along with payment for adjustment of indexation.

Moreover, the TSP for the pre-CoD (commercial operation date) period that remained pending is at PKR 21.1 billion, while the payment company received so far is PKR 8.75 billion which amounts to 41.4 per cent of the total amount it billed, according to Dawn.

The letter also reads, “We need to stress again that the total amount of invoices we billed NTDC is PKR 21.21bn, out of which, after receipt of PKR 8.75 billion, the unpaid amount is PKR 12.35bn.”

The company also demanded the clearance of the amount before March 24 since the approval of foreign exchange conversion from the State Bank of Pakistan for making payment to the lender takes time.

“This issue emerged before my appointment as Managing Director. However, we always give priority to such payments. And we did,” NDTC MD was quoted as saying by Dawn.

Meanwhile, Pakistan has sought financial support of about $ 21 billion from China.

Islamabad has requested a rollover of existing loans of $ 10.735 billion and $ 10 billion as deposit fund, to meet future needs, Business Recorder reported citing sources on Tuesday.

During the Pakistan Prime Minister Imran Khan’s visit to China in February, several agendas were discussed including a rollover request of all financing facilities upon maturity. One SAFE (China’s State Administration of Foreign Exchange) deposit of USD 2.0 billion will be maturing on March 23, 2022.

Likewise, a 3-year commercial loan of People’s Renminbi (RMB) 15 billion equivalents to USD 2.235 billion from a consortium of China Development Bank (CDB), Bank Of China and Industrial and Commercial Bank of China Limited (ICBC) is maturing on March 25, 2022.

Moreover, the State Bank of Pakistan has proposed the enhancement of the currency swap arrangement to USD 15 billion.

Pakistan’s devastating economic condition forced the country to seek loans from different countries. China and Saudi Arabia had already granted a huge loan to Pakistan in the past few years. In December 2021, Saudi Arabia granted a loan of USD 3 billion to Pakistan. (ANI)

ALSO READ: Russia-Ukraine war puts China in difficult position

Previous Story

Istanbul sees huge protest against China’s human rights abuses

Next Story

Kenya, Zimbabwe Sign MoU

Latest from -Top News

G42 AI tool boosts procurement by 40%

Abu Dhabi’s tech giant leads the charge in AI-driven operational transformation with (In)Business Procurement platform. Abu Dhabi-based global technology powerhouse G42 has taken a major leap in enterprise digital transformation with the

ADX, banks launch region’s first digital bond

Abu Dhabi Securities Exchange (ADX) has launched the pricing phase for the region’s first distributed ledger technology (DLT)-based bond, setting a new benchmark in financial innovation and blockchain integration. The bond, issued

Saudi, Indonesia seal $27bn in deals

Saudi Arabia and Indonesia deepen ties with $27bn in agreements, boosting trade, energy, defence and pilgrimage cooperation, signalling a new chapter in strategic partnership. Saudi Arabia and Indonesia inked a raft of

UN urges investments in Syria

Rebuilding Syria requires not only emergency relief but sustained investment in basic services, economic recovery, and stability, says UN Office in Syria. A high-level United Nations delegation has called for increased international

Saudi deploys first THAAD missile unit

Riyadh boosts its long-range missile defence with U.S.-made THAAD system, amid growing regional missile threats. Saudi Arabia has officially activated its first Terminal High Altitude Area Defence (THAAD) missile unit, marking a
Go toTop

Don't Miss

Missing Chinese tennis star appears at tournament amid global outcry

This comes after international pressure mounted for an investigation into

Posters with Tibetan flag outside Chinese embassy in Denmark

They were placed by candidate Thomas Rohden before being removed