KARACHI – The United Arab Emirates (UAE) has rolled over its $2 billion deposits placed with State Bank of Pakistan (SBP) for another year, providing breather to the South Asian country amid economic crisis.
The development was confirmed by the central bank in a post shared on social media platform X, formerly Twitter.
“UAE has confirmed rollover of its two deposits of US$1.0 billion each placed with State Bank of Pakistan for another one year which were maturing in January 2024,” read the official statement.
A day earlier, reports said that caretaker Prime Minister Anwarul Haq Kakar had written a letter to the UAE president seeking rollover in the loan.
Reports added that Pakistan will pay three percent interest on $1 billion while 6.5% interest will be paid on the another billion dollars.
In January 2023, the UAE had also agreed to rollover the existing debt of $2 billion of Pakistan and provided additional $1 billion loan to help the country strengthen its forex reserves.
