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UAE rolls over $2bn payment due from Pakistan

By Pramod Kumar
UAE president Sheikh Mohamed bin Zayed Al Nahyan meets Pakistan's prime minister Shehbaz Sharif in Rahim Yar Khan city in Pakistan Wam
UAE president Sheikh Mohamed bin Zayed Al Nahyan meets Pakistan's prime minister Shehbaz Sharif in Rahim Yar Khan city in Pakistan

The UAE has agreed to roll over the payment of $2 billion due from Pakistan in January, Pakistan’s prime minister Shehbaz Sharif has said.

Speaking at a press conference, Sharif said that the Emirati president extended the $2 billion repayment due this month in a one-on-one meeting during the UAE leader’s visit to Pakistan on Sunday, the UAE state-run Wam news agency reported.

The length of the extension period was not disclosed.

Sharif admitted that Pakistan had requested the UAE to back “a few billion dollars” in key investment projects and that the Gulf nation was committed to investing.

In August 2024, State Bank of Pakistan governor Jameel Ahmad said that Pakistan plans to raise up to $4 billion from commercial lenders in the Middle East by fiscal year 2025.

In December, Saudi Arabia renewed its $3 billion deposit with Pakistan’s central bank for another year.  

The deposit renewal with the State Bank of Pakistan will boost Pakistan’s foreign exchange reserves and strengthen its economy, the Saudi Fund for Development said.

Saudi Arabia, the UAE and China have already rolled over their loans to support Islamabad’s $7 billion bailout package from the International Monetary Fund.

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