UAE deposited $1 billion to SBP today: Ishaq Dar

ISLAMABAD: Finance Minister Senator Ishaq Dar announced on Wednesday that Pakistan has received $1 billion funds in financial assistance from the friendly country, United Arab Emirates (UAE), today, ARY News reported.

The United Arab Emirates (UAE) deposited $1 billion with Pakistan’s central bank to support foreign exchange reserves.

While addressing a press conference, Finance Minister Ishaq Dar said that Pakistan’s reserves were increased by $3 billion within two days. “Today, a friendly country UAE deposited $1 billion to the State Bank of Pakistan (SBP) today.”

Dar said that he, on behalf of the Pakistani nation, thanked the UAE leadership for the financial support in difficult times. He added that the State Bank of Pakistan (SBP) will make a formal announcement on Friday.

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“I also want to thank the prime minister and army chief. The foreign reserves will reach $14 billion by the end of July. Speculations about the country’s default have proved false,” he added.

State Bank of Pakistan (SBP) has received today a deposit of $1 billion from United Arab Emirates. This inflow has further increased forex reserves held by SBP and will accordingly be reflected in the forex reserves position for the week ending 14July2023.

— Ishaq Dar (@MIshaqDar50) July 12, 2023

Yesterday, the finance minister said Pakistan has received external financing of $2 billion from Saudi Arabia. “State Bank of Pakistan has received funds from Saudi Arabia,” Ishaq Dar said while addressing a press conference in Islamabad yesterday.

Saudi deposits will help in establishing Pakistan’s foreign reserves, he added.

Dar lauded Saudi Arabia’s commitment to standing with Pakistan in every tough situation. He also thanked Saudi Arabian leadership on behalf of Prime Minister Shehbaz Sharif and Chief of Army Staff (COAS) General Asim Munir.

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The finance minister said Pakistan’s economy is moving in the right direction and more ‘good developments’ are expected in the upcoming days for Pakistan.

It may be noted that the IMF had demanded the Pakistani government to get a written guarantee from the friendly countries for the deposit.

On June 30, Pakistan had signed a badly needed $3 billion staff-level agreement with the International Monetary Fund (IMF). International Monetary Fund (IMF) announced that a “Stand-By Arrangement” was reached successfully with Pakistan, valuing $3 billion for 9 months.

The final approval of this agreement will be given by the IMF’s executive board, which is expected to take place in mid-July. After this approval, Pakistan can receive a loan of $3 billion.