Islamabad (TDI): Prime Minister Shehbaz Sharif said on Tuesday that the United Arab Emirates has rolled over a $2 billion loan deposit, granting Pakistan a substantial fiscal respite.
Pakistan has been making macroeconomic progress following two years of fiscal crises, with foreign exchange reserves increasing steadily and political stability improving.
PM Shehbaz informed a cabinet meeting that he met UAE President Sheikh Mohamed bin Zayed Al Nahyan in Rahim Yar Khan, where the Gulf nation’s top leader proposed rolling over the loan.
“He happily informed me that 2 billion dollars Pakistan owed in January had been extended by the UAE. He proposed it himself and immediately issued directives as well,” the premier said.
Pakistan’s foreign exchange reserves have increased from $2.7 billion to $11.7 billion in the last two years and while external public debt stood at $100 billion two years back, it currently stands in the same position.
Briefing the cabinet further about his meeting, PM Shehbaz said the UAE president pledged to support Pakistan in its bid for financial stability based on the nations’ historic brotherly relations.
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The PM also described his meeting with the UAE president as positive and productive, stating that discussions centered on investment opportunities.
He emphasized measures aimed at enhancing mutual relations and revealed that a specific target had been set.
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“This goal will leave a positive impression on investors,” he added.
