ISLAMABAD: The United Arab Emirates (UAE) is expected to respond positively to caretaker Prime Minister Anwaarul Haq’s letter to President Sheikh Mohammed bin Zayed al-Nahyan and roll over the payment of $2 billion loan for another year.
According to the Finance Ministry, UAE has deposited $3 billion as a safe deposit in the State Bank of Pakistan out of which $1bn is getting mature on January 17 and the other $1 bn will be matured on January 23.
Last week, Caretaker Prime Minister Anwaarul Haq Kakar wrote a letter to the UAE President Sheikh Mohammed bin Zayed al-Nahyan, seeking rollover of the loan.
According to officials, the Ministry of Finance is confident that the UAE would respond positively to the PM’s request and $2 billion debt deferral will be successfully negotiated and finalized within this week.
On January 18, 2023, the UAE had also rolled over Pakistan’s loan of $2 billion on the then-prime minister Shehbaz Sharif’s request, who also held a meeting with the Emirates president.
On January 5, 2024, the foreign currency reserves held by the SBP were recorded at $8.155 billion, down $66 million compared to $8.221 billion on December 29, 2023.
The central bank reserves have increased by over $1 billion over the last few sessions.
