Pakistan gets $19.91 million debt relief from South Korea

Under the G-20 Debt Service Suspension Initiative (DSSI) framework, Pakistan has signed a Debt Service Suspension Agreement with Korea, deferring payment of loans totaling $19.911 million.

This amount, which was originally due to be reimbursed between July and December 2021, will now be repaid in semi-annual installments over a six-year period (including a one-year grace period).

Because of the assistance offered by Pakistan's development partners, the G-20 DSSI has provided the financial flexibility required to address the Islamic Republic of Pakistan's pressing health and economic requirements.

The total amount of debt suspended under the DSSI framework, spanning the repayment period from May 2020 to December 2021, is $3,686 million.

Pakistan has already concluded and signed 104 agreements with 21 bilateral creditors under the G-20 DSSI for the postponement of debt repayments totaling $3,633 million.

With the signature of the aforementioned agreement, the total amount now stands at $3,653 million. The remaining agreements to be signed under the G-20 DSSI are still being negotiated.