https://twitter.com/home https://www.facebook.com/Shabbir.Hussain191By Shabbir Hussain
BEIJING, July 17 (Alliance News): Chief Representative of the National Bank of Pakistan (NBP) Beijing Office, Shaikh Muhammad Shariq, has emphasized the need for developing robust cross-border financing frameworks under the China-Pakistan Economic Corridor (CPEC), particularly RMB-PKR settlement mechanisms, syndicated lending structures, and risk mitigation tools such as guarantees and insurance.
Speaking during the 3rd China International Supply Chain Expo (CISCE), Shariq told China Economic Net that localized financial services and regulatory coordination are crucial for advancing China-Pakistan financial cooperation under CPEC.
Since its establishment in 1981, the NBP Beijing Office has played a key role in facilitating Chinese investments in Pakistan’s infrastructure, energy, and telecom sectors, particularly in Gwadar Port.
“We’ve supported banking arrangements for port operations, freezone development, and logistics projects, ensuring smooth financial coordination for Chinese enterprises,” he said.
Shariq also noted that Chinese investors in Pakistan face challenges including regulatory compliance, complex tax structures, legal differences, and fund repatriation hurdles.
“To address these issues, we offer on-ground advisory, facilitate banking procedures, and support compliance efforts to ensure business continuity and confidence,” he added.
He highlighted NBP’s efforts to support cross-border e-commerce by offering payment solutions and trade finance, including cooperation with UnionPay International to streamline digital transactions for Chinese businesses operating in Pakistan.
“There is strong potential for deeper integration in areas such as RMB settlement, digital wallets, and online escrow services,” he remarked.
On China’s financial sector reforms, Shariq acknowledged significant advancements, including improved market access, enhanced regulatory transparency, and a push for RMB internationalization. These developments, he said, have strengthened NBP’s operations in China and opened new avenues for financial collaboration under CPEC.
Shariq also presented his insights on supply chains, emphasizing that CPEC is fostering a “financial chain” alongside physical infrastructure. This includes coordinated banking networks, cross-border payments, and trade finance that improve the resilience of bilateral supply chains.
He concluded by urging both nations to focus on digitalizing financial infrastructure, expanding local currency settlements, and aligning regulatory standards. “Such steps will enhance financial connectivity and empower China and Pakistan to play a greater role in securing and diversifying global supply chains, particularly for developing countries,” he noted.
