Pakistan’s Circular Debt Deal Explained | Rs1.29 Trillion Power Sector Fix

Описание: Pakistan’s power sector has long suffered from the crippling effects of circular debt—a financial black hole that keeps dragging down public finances, straining consumers, and choking the economy.

But a major new deal worth Rs1.29 trillion might finally offer a way out.

In this explainer, journalist Hassan Ahmed breaks down Nasir Jamal’s detailed report on Pakistan’s power sector crisis, the structure of the new syndicated banking deal, and what this repayment strategy really means for the future of energy in the country.

This is not just a bailout. It’s a restructuring.
But can it succeed where past attempts failed?

We explain:
What circular debt is (and why it keeps coming back)
Why this new Rs1.29 trillion plan is different
How banks are getting paid through existing surcharges
What deeper reforms are still needed
Why experts are calling this just a temporary breather
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