MoF to borrow PkR 100 bn from banks – Alfalah Securities Limited

Karachi: The Ministry of Finance may borrow PkR 100 bn from commercial banks in order to disburse half of the amount of unpaid dues to the Independent Power Plants (IPPs) whose circular debt currently stands at PkR 210 bn.

According to Alfalah Securities Limited, IPPs have been facing severe financial crisis due to non payment of dues and have also resulted as a threat to the government of invoking its guarantee however, the payment of PkR 100 bn would ease off the burden of circular debt of IPPs to a certain level.