Pak Agrees to Join ‘Board of Peace’ after Seeking $2.5-bn Debt’s Rollover for Ailing Economy
In a surprising turn of events, Pakistan has announced its decision to join the ‘Board of Peace’, an initiative introduced by former US President Donald Trump, in support of the Gaza Peace Plan. This move comes at a critical time for Pakistan’s economy, which is struggling to stay afloat amidst mounting debt and financial woes. The country’s Foreign Minister, Ishaq Dar, made the announcement, highlighting Pakistan’s commitment to promoting peace and stability in the region.
The decision to join the ‘Board of Peace’ is seen as a significant development, given Pakistan’s current economic situation. The country is grappling with a massive debt burden, with a total debt of over $250 billion. The situation has been further exacerbated by the maturity of a $2.5-billion debt, which is due for repayment. In an effort to mitigate the impact of this debt on the economy, Pakistan recently approached the United Arab Emirates (UAE), seeking a rollover of the maturing debt and a reduction in the applicable interest rate.
The UAE, which has been a key player in supporting Pakistan’s economy in recent years, is expected to consider the request favorably. However, the fact that Pakistan has chosen to join the ‘Board of Peace’ at this juncture has raised eyebrows among economists and analysts. The board, which aims to promote peace and stability in the Gaza region, reportedly requires a $1-billion fee to join as a permanent member. This has led to questions about the country’s priorities and its ability to afford such a significant outlay at a time when its economy is struggling.
Despite these concerns, Pakistan’s Foreign Minister, Ishaq Dar, has emphasized the importance of joining the ‘Board of Peace’. According to Dar, the move is a testament to Pakistan’s commitment to promoting peace and stability in the region. “Pakistan has always been a strong advocate for peace and stability in the Middle East, and our decision to join the ‘Board of Peace’ is a reflection of this commitment,” Dar said in a statement.
The ‘Board of Peace’ is an initiative introduced by former US President Donald Trump, with the aim of promoting peace and stability in the Gaza region. The board, which is expected to comprise representatives from several countries, will work towards finding a lasting solution to the Israeli-Palestinian conflict. The initiative has been welcomed by several countries, including the UAE, which has been a key player in supporting the effort.
Pakistan’s decision to join the ‘Board of Peace’ is seen as a significant development, given the country’s historical ties with the Palestinian cause. Pakistan has long been a supporter of the Palestinian people, and its decision to join the board is seen as a reflection of this commitment. However, the fact that the country is struggling to manage its own economy has raised questions about its ability to make a meaningful contribution to the board.
The economic implications of Pakistan’s decision to join the ‘Board of Peace’ are significant. The country’s economy is already struggling to stay afloat, with a large trade deficit and a depreciating currency. The decision to pay a $1-billion fee to join the board will further exacerbate the situation, and may lead to a reduction in the country’s foreign exchange reserves.
Furthermore, the decision to join the ‘Board of Peace’ may also have implications for Pakistan’s relationships with other countries. The country’s decision to seek a rollover of its $2.5-billion debt from the UAE may be seen as a sign of weakness, and may lead to a reduction in the country’s credibility on the international stage. Additionally, the fact that Pakistan is seeking to join the ‘Board of Peace’ at a time when its economy is struggling may be seen as a sign of desperation, and may lead to a reduction in the country’s influence in regional affairs.
In conclusion, Pakistan’s decision to join the ‘Board of Peace’ is a significant development, given the country’s current economic situation. While the move is seen as a reflection of Pakistan’s commitment to promoting peace and stability in the region, it has raised questions about the country’s priorities and its ability to afford the $1-billion fee required to join the board. As the country struggles to manage its economy and reduce its debt burden, the decision to join the ‘Board of Peace’ may be seen as a luxury that Pakistan can ill afford.
Source: https://www.reuters.com/world/asia-pacific/pakistan-join-trumps-board-peace-gaza-2026-01-21/
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