KARACHI - March 25 (WNM staff) - “State Bank of Pakistan has received RMB 15 billion today [Monday] which is equivalent to $2.2 billion as proceeds of the loan obtained by the government of Pakistan from China,” said State Bank of Pakistan in a statement.

The finance ministry spokesperson, Dr Khaqan Najeeb Khan, confirmed the deposit and said it will help contain the balance of payment position and boost the country’s foreign exchange reserves.

China pumped the money to cash-strapped Pakistan Pakistan to shore up its close ally's foreign currency reserves and help avert a possible default on external debt payments, the Economic Times reports. With the generous Chinese assistance, Pakistan has so far received a total of USD 9.1 billion in financial assistance packages financial assistance packages from friendly countries during the current fiscal year, The Express Tribune reported.

 Foreign exchange reserves increased to a comfortable level, the spokesperson said.

The latest commercial lending by China has pushed the gross official foreign exchange reserves to double-digits after a year.