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Reuters
Reuters
Business
By Gibran Naiyyar Peshimam

U.S. concerned about debt Pakistan owes China, official says

FILE PHOTO: U.S. State Department Counselor Derek Chollet speaks during an interview in Seoul, South Korea, July 11, 2022. REUTERS/Hyonhee Shin

The United States is concerned about debt owed to China by Pakistan and other countries, U.S. State Department Counselor Derek Chollet said on Thursday during a visit to Islamabad as the country dealt with an economic crisis.

Pakistan, historically a close ally of Washington, has become increasingly close to China, which has provided billions in loans and is Islamabad's largest single creditor. Pakistan faces a crippling economic crisis, with decades-high inflation and critically low foreign exchange reserves depleted by continued debt repayment obligations.

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