|
Russia reschedules $ 127 Mln debt owed by
Pakistan
By Sheraz
Afzal - Pakistan Times
Staff Correspondent
ISLAMABAD: Russian
government has rescheduled
its entire debt owed by Pakistan amounting to US $ 127 million under the
Paris Club Arrangements.
A formal agreement to this effect was signed between the two governments in
Moscow on Wednesday March-16.
The agreement was signed as a result of two days discussions in Moscow
between the Russian officials and a delegation of Pakistan officials headed
by Shuja Shah, Secretary Economic Affairs Division.
The Pakistan delegation comprising of representatives of Ministry of
Commerce, Finance Division, State Bank of Pakistan and National Bank of
Pakistan visited Moscow from March-14 to 16, according to a fax message
received here from Moscow on Thursday.
As a result of this agreement, already rescheduled Russian debt under PC-I
and PC-II was consolidated.
The delegation held extensive discussions with relevant Russian authorities
to strengthen economic relations between the two countries.
The Interest Rates
Comparing the interest rates of 6.8% and 5.6% finalized in earlier two Paris
Club Agreements with Russia respectively in the year 2001, the level of
interest under the present agreement is 5 percent.
The repayment period under PC-I and PC-II was 18 years, whereas under the
present arrangement, it will be 23 years.
The long outstanding issue pertaining to the settlement of claims of
Pakistani exporters have also been resolved.
Pakistani exporters had filed claims with the Russian authorities for US $
21 million. Out of which, after due verification, it has been agreed by
Russian side to pay US $ 18.8 million to Pakistan exporters.
Outstanding Dues
Similarly outstanding dues of Pakistan exporters to the tune of US $ 77
million have been agreed to the extent of US $ 76 million. Remaining claims
of Pakistani exporters for US $ 12 million and Rs. 28 million have been left
to be settled under inter-company arrangements.
The matter regarding Russia's accession to WTO also came under consideration
and Pakistan indicated to extend its support to Russia.
Possibility of FTA between Russia and Pakistan was also discussed.●
|
