Use of Chinese currency in Gwadar

(web desk)- Pakistan on Tuesday (21 Nov 2017) has dismissed China’s demand to allow usage of its currency in Gwadar’s free trade zone under China Pakistan Economic Corridor, reported Roznama Dunya on Wednesday.

As per details, Pakistani officials argued that any such step would undermine country’s ‘economic sovereignty’. The final message to Chinese officials was served during huddle of the senior officials in Islamabad yesterday (Tuesday).

A senior official, on condition of anonymity stated that Beijing wants to use its currency in Pakistan as part of policy to internationalize the renminbi [the official name of China’s currency].

Chinese and Pakistani officials agreed to make all financials arrangements under existing bilateral Currency Swap Arrangement. However, the aforementioned agreement would expire in ongoing month.

Two sides also agreed to create mutual committees on agriculture and information technology. Chinese officials also approved proposal to lay double-track from Karachi to Khyber.