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Pakistan Repays $2 Billion to UAE, With Remainder Due by April 23

Saudi deposits plus an expected IMF disbursement help steady Pakistan’s reserves during the payout.

Overview

  • State Bank of Pakistan officials confirmed Saturday that $2 billion was sent to the UAE from a $3.5 billion deposit package, with the rest due by April 23.
  • Saudi Arabia placed $2 billion with Pakistan this week and pledged a broader $3 billion extension, which officials say offsets the outflow to the UAE.
  • Finance Minister Muhammad Aurangzeb said Pakistan expects about $1.2 billion from the IMF next, which he says will support remaining external payments.
  • Earlier in April, Pakistan redeemed a roughly $1.4 billion Eurobond, which pulled central bank reserves down to about $15.08 billion, and it later raised $500 million through a three-year Eurobond to add cash.
  • Some outlets report roughly $2.4 billion has already been repaid to the UAE, but the central bank has only confirmed $2 billion, leaving the exact remaining sum disputed.