DHAKA: China has agreed to lend Pakistan US$6.5 billion to help build nuclear power stations including a 2,200-megawatt plant in Karachi, as Beijing increases its involvement in the cash-strapped country.

Pakistan prime minister Nawaz Sharif announced the package at a briefing on Wednesday, saying it would help ensure an uninterrupted power supply.

The loans are to be provided by Chinese state-owned Exim Bank and will be repaid at a concessional rate over 20 years, according to reports.

A finance ministry spokesman confirmed the deal to media on Thursday, reports The Straits Times.

BDST: 2030 HRS, JAN 02, 2014
Edited by Robab Rosan, Current Affairs Editor