China to provide US$ 3.5 bln railway loan to Pakistan
- By Shakoor Nizamani -
- Oct 22, 2014
Citing Pakistan Railways sources, ARY News reported that a delegation of Chinese technical experts will visit Pakistan this month to pick the areas for an investment of $3.5 billion and complete the rehabilitation and replacement of tracks from Karachi to Peshawar.
The delegation of Chinese experts would undertake a comprehensive survey of the 1,400-km rail track.
The survey would also cover 2,340 railway bridges and 11 tunnels from Karachi to Peshawar.
The team will prepare a report and submit it in February next year to the governments of China and Pakistan for further deliberation and reaching agreements.
China has expressed interest in pouring about $3.5 billion into infrastructure development for the railways.
The investment is a loan being given by China at a concessionary interest rate of 1.5% under the Pakistan-China Economic Corridor, official sources said.
The loan will be released by the Export-Import Bank of China after receiving sovereign guarantees from the Pakistan government.