The State Bank of Pakistan (SBP) confirmed on Thursday that the United Arab Emirates (UAE) has agreed to roll over two billion-dollar deposits for another year, which are expected to mature this month.
The UAE has rolled over two deposits, each worth $1 billion, held with the State Bank of Pakistan for another year, according to the SBP.
These deposits were due to mature in January 2025.
Prime Minister Shehbaz Sharif had announced last week that the UAE would extend the $2 billion payment due in January.
This refinancing is vital for Pakistan’s external financing, an essential condition for the IMF to approve the $7 billion bailout plan.
Last year, Pakistan secured the IMF program with the help of China, the United Arab Emirates and Saudi Arabia, which provided the necessary financial assurances for IMF disbursements.
Previously, the State Bank also reported a weekly increase of $30 million in foreign exchange reserves, reaching $11.72 billion as of January 10, 2025.
Total liquid reserves stood at $16.45 billion, with commercial banks holding $4.73 billion.
