Pak agrees to join ‘Board of Peace’ after seeking $2.5-bn debt’s rollover for ailing economy
In a significant development, Pakistan has announced its decision to join the ‘Board of Peace’, an initiative spearheaded by former US President Donald Trump. The move comes as the country struggles to stabilize its economy, with a mounting debt burden and dwindling foreign exchange reserves. The announcement was made by Pakistan’s Foreign Minister, Ishaq Dar, who expressed the country’s commitment to supporting the Gaza Peace Plan.
The decision to join the ‘Board of Peace’ is seen as a strategic move by Pakistan to bolster its international relations and secure economic support. However, it is also being viewed as a costly endeavor, with the board reportedly requiring a $1-billion fee to join as a permanent member. This raises questions about the country’s ability to afford such a hefty fee, given its current economic woes.
Just days ago, Pakistan approached the United Arab Emirates (UAE) seeking a rollover of its $2.5-billion maturing debt. The country is also seeking to halve the applicable interest rate on the debt, in an effort to ease the burden on its ailing economy. The move is seen as a desperate attempt to avoid defaulting on its debt obligations, which could have severe consequences for the country’s economy.
The decision to join the ‘Board of Peace’ has sparked debate among experts, with some questioning the country’s priorities. On one hand, joining the board could provide Pakistan with a platform to promote peace and stability in the region. On the other hand, the $1-billion fee required to join as a permanent member could be a significant drain on the country’s already depleted finances.
Pakistan’s economy has been struggling in recent years, with a large trade deficit, dwindling foreign exchange reserves, and a heavy debt burden. The country has been relying on loans from international institutions, such as the International Monetary Fund (IMF), to keep its economy afloat. However, the IMF has been pushing Pakistan to implement structural reforms and reduce its debt levels, in exchange for the loans.
The decision to join the ‘Board of Peace’ is seen as a calculated move by Pakistan to secure economic support from the international community. The country is hoping that its membership in the board will provide it with access to new sources of funding and investment, which could help to stabilize its economy. However, it remains to be seen whether the benefits of membership will outweigh the costs, particularly given the $1-billion fee required to join.
The ‘Board of Peace’ is an initiative launched by former US President Donald Trump, with the aim of promoting peace and stability in the Middle East. The board is seen as a platform for countries to come together and work towards resolving regional conflicts, such as the Israeli-Palestinian conflict. Pakistan’s decision to join the board is seen as a significant development, given the country’s historical support for the Palestinian cause.
The Gaza Peace Plan, which is a key component of the ‘Board of Peace’, aims to provide a framework for resolving the Israeli-Palestinian conflict. The plan has been met with skepticism by some, who question its viability and the willingness of all parties to implement it. However, Pakistan’s decision to join the ‘Board of Peace’ and support the Gaza Peace Plan is seen as a significant endorsement of the initiative.
In conclusion, Pakistan’s decision to join the ‘Board of Peace’ is a significant development, given the country’s economic woes and its historical support for the Palestinian cause. While the decision is seen as a calculated move to secure economic support and promote peace and stability in the region, it also raises questions about the country’s ability to afford the $1-billion fee required to join as a permanent member. As the country struggles to stabilize its economy, it remains to be seen whether the benefits of membership in the ‘Board of Peace’ will outweigh the costs.
Source:
https://www.reuters.com/world/asia-pacific/pakistan-join-trumps-board-peace-gaza-2026-01-21/
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