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Human Services

Pakistan to barrow from China for Chabahar-Gwadar railway: Pak daily

Islamabad, A Pakistani Urdu daily said that Islamabad will borrow loan from Beijing to lay a railway track which connects Pakistan's Gwadar with the Iranian port of Chabahar.

Daily 'Ummat' reported that Pakistan has finalized talks with Iran to lay the track while China will give loan to Pakistan on 0.75 to 2.1 interest rate which will be payable in 20-25 years.

It said that the project holds high strategic significance for Pakistan. It is to be noted that only Chinese companies can take part in the bidding process for the project.

The project would also help Gwadar to be linked with Karachi and other parts of the country through railway line.

China under another project will also give loan to Pakistan to upgrade its existing rail network which is an important part of the China-Pakistan Economic Corridor (CPEC) project. Only Chinese companies will be awarded the contract to upgrade the track.

Under the CPEC many infrastructure projects are under construction throughout Pakistan. Originally valued at $46 billion, the value of CPEC projects is now worth $62 billion. The project will link Pakistani Gwadar port to China Xinjiang province.

Source: Islamic Republic News Agency - IRNA

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