Pakistan repays $2bn to United Arab Emirates

ISLAMABAD: The State Bank of Pakistan (SBP) on Saturday confirmed that the government has returned $2 billion in debt to the United Arab Emirates (UAE).

The SBP spokesperson said that the amount was kept with the central banks as a safe deposit.

Sources said the UAE recently requested an early return of the funds in light of the prevailing international situation, prompting Islamabad to proceed with repayment.

Officials from the finance ministry revealed that Pakistan had been paying around 6% interest on the deposit.

The UAE had previously been rolling over the amount annually, and later extended it for shorter periods, including one- and two-month rollovers after December 2025.

Separately, Pakistan recently received $2 billion in financial support from Saudi Arabia, which has also assured an additional $3 billion deposit to support the country’s financial position.

Reports also suggest that Qatar may extend further financial assistance as part of broader regional support.