Pakistan has repaid a total of $3.45 billion to the United Arab Emirates, according to the State Bank of Pakistan.
The repayment includes $1 billion returned to the Abu Dhabi Fund for Development on April 23, along with an earlier payment of $2.45 billion.
These deposits were originally provided in 2019 to help Pakistan manage its balance of payments and support its foreign exchange reserves.
Officials said the UAE deposits were not extended this year, which required Pakistan to repay the full amount. Despite the financial pressure, authorities described the repayment as a step to maintain the country’s financial credibility and national standing.
At the same time, Pakistan received financial support from Saudi Arabia. During April, the country secured $3 billion in deposits from Saudi Arabia, which helped ease some of the pressure caused by the repayments.
According to official figures, Pakistan’s foreign exchange reserves stood at around $20.63 billion. While the repayments reduced liquidity in the short term, the incoming funds from Saudi Arabia provided some balance.
Experts say such financial movements are part of managing external obligations and maintaining relationships with partner countries. They added that timely repayments can help strengthen trust with international partners and lenders.
The development highlights the challenges Pakistan faces in managing its external finances while ensuring stability.
Officials believe that continued support from friendly countries and careful financial planning will help the country manage its economic position in the coming months.
