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ISLAMABAD: Pakistan is considering a proposal to replace the US dollar with the Chinese yuan for bilateral trade between Pakistan and China, the English-language daily newspaper Dawn reported on Tuesday.
Bilateral trade between the countries totalled $13.8 billion in 2015 to 2016.
Interior Minister Ahsan Iqbal, who has been central to the planning and implementation of China-Pakistan economic ties, was reported discussing the proposal after unveiling a long-term economic development cooperation plan for the two countries.
Iqbal said Pakistan would continue to use the rupee domestically.
The long-term plan highlighted key cooperation areas between the neighboring states including road and rail connections, information network infrastructure, energy, trade and industrial parks, agriculture, poverty alleviation and tourism.
The plan marks the first time the two countries have said how long they plan to work together on the project, known as the China Pakistan Economic Corridor (CPEC,)taking the economic partnership to at least 2030.
China has already committed to investing $57 billion in Pakistan to finance CPEC as part of Beijing’s “Belt and Road” initiative to build a new Silk Road of land and maritime trade routes across more than 60 countries in Asia, Europe and Africa.