The United Arab Emirates (UAE) has officially confirmed the extension of its two deposits, each amounting to US$1.0 billion, placed with the State Bank of Pakistan. These deposits, originally set to mature in January 2024, will now undergo a rollover for another one year.
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.#SBP
— SBP (@StateBank_Pak) January 17, 2024
The United Arab Emirates (UAE) has officially confirmed the extension of its two $1 billion deposits with the State Bank of Pakistan for an additional year, which were initially set to mature in January 2024.
This rollover accounts for a total of $2 billion, representing two loans worth $1 billion each that were due to mature in January 2024. Notably, the UAE maintains a total deposit of $3 billion with the State Bank of Pakistan.
Following Pakistan’s request on January 9, the UAE agreed to extend the maturity date for this $2 billion loan. Currently, the central bank’s foreign exchange reserves amount to approximately $8.15 billion. Additionally, the State Bank of Pakistan has received the second installment of SDR 528 million, equivalent to $705.6 million, from the International Monetary Fund (IMF).
This disbursement will be reflected in the SBP reserves for the week ending on January 19, 2024.
This decision reflects the continued confidence of the UAE in the financial stability and economic resilience of Pakistan. The rollover of these substantial deposits contributes to fostering a sustained financial partnership between the two nations, reinforcing their collaborative economic endeavors.
This extension not only underscores the strength of diplomatic and economic ties but also provides a positive signal for the stability and attractiveness of Pakistan’s financial environment on the international stage. The extended deposits serve as a testament to the mutual trust and cooperation between the UAE and Pakistan, paving the way for continued economic collaboration and shared prosperity.
