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Pakistan has said it will repay matured loan deposits to the UAE. “This is a routine financial transaction,” the Pakistani foreign ministry said on social messagingPakistan has said it will repay matured loan deposits to the UAE. “This is a routine financial transaction,” the Pakistani foreign ministry said on social messaging

Pakistan to repay matured loan deposits to UAE

Author: Agbi

Source: Agbi

2026/04/06 13:40

2 min read

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Pakistan has said it will repay matured loan deposits to the UAE.

“This is a routine financial transaction,” the Pakistani foreign ministry said on social messaging platform X.

The deposits were placed under bilateral commercial agreements to support economic stability and prosperity in Pakistan, the post said, without specifying any value.

The matured deposits will be returned through the State Bank of Pakistan, the post said.

Pakistan in February secured a two-month period to renegotiate the terms and tenure of two loans of $1 billion from the UAE, Bloomberg reported, citing local media.

The total debt stands at $3.5 billion, the news agency reported, citing the Express Tribune.

Pakistan’s dollar reserves stood at $16.4 billion as of March 27, Bloomberg said, adding that Islamabad has a $1.3 billion bond payment due in April.

In January 2025, the UAE agreed to roll over the payment of $2 billion due from Pakistan. In June 2025, UAE banks led a $1 billion fundraising by Pakistan.

Saudi Arabia renewed its $3 billion deposit with Pakistan’s central bank for another year in December 2024.

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