UAE’s $1 billion offer brings Pakistan closer to an IMF agreement

The lender still needs the commitment before authorising a staff-level agreement to release a $1.1 billion tranche that has been months in the making.

Finance Minister Ishaq Dar tweeted about the central bank. “The State Bank of Pakistan is now engage for necessary documentation for taking the said deposit from the UAE authorities.”


After the IMF funding halted in November due to problems with fiscal policy changes. Pakistan’s foreign exchanged reserves shrank to barely cover a month of imports.

Pakistan had to comply with IMF demands. Which included, among other things, removing subsidies in its agriculture, export.

A market-based exchange rate, arranging for external finance, increasing more than 170 billion rupees ($613 million) in new levies