Pakistan gets another extension from Paris Club to pay debt

• Pakistan gets extension to dedicate resources to combat COVID-19.
• Pakistan has until December to make the payment.
• Pakistan's debt service for 2021-2022 fiscal year totals $56.9 billion.

PARIS: The Paris Club of creditor countries said on Friday it was giving Pakistan another extension to service its debt so that it can dedicate its resources to combatting the COVID-19 pandemic.

The country has until December to make the payment, the club said in a statement, without releasing a figure.

Islamabad "is committed to devote the resources freed by this initiative to increase spending in order to mitigate the health, economic and social impact of the COVID-19 crisis," the statement said.

The country's debt amounts to some 90% of its gross domestic product, according to the International Monetary Fund.

Its debt service for the 2021-2022 fiscal year totals $56.9 billion, the IMF says.

Pakistan owes $11.5 billion to the Paris Club, according to the IMF.