Good news is expected for Pakistan’s economy as the country is likely to receive important financial support from the United Arab Emirates.
Pakistan is expected to secure a 3 billion dollar loan rollover from the UAE by mid-January, which would help ease economic pressure and strengthen foreign exchange reserves.
According to sources, the Ministry of Finance has completed all necessary preparations on behalf of the government to facilitate the loan rollover. The process is now at an advanced stage, and officials are confident that the arrangement will be finalized within the expected timeline.
Prime Minister Shehbaz Sharif is expected to formally request the loan rollover by writing a letter to UAE President Sheikh Mohammed bin Zayed bin Nahyan.
The letter will highlight Pakistan’s commitment to fulfilling its financial obligations and maintaining strong economic and diplomatic ties with the UAE.
The 3 billion dollar rollover will be an extension of an existing loan rather than a fresh borrowing. This will allow Pakistan more time to manage its repayments and reduce immediate pressure on its foreign exchange reserves. As a result, the government will gain some financial breathing space during a critical period.
Economic analysts say the expected rollover will help Pakistan meet its short-term external financing needs and support ongoing economic reform efforts. It may also help stabilize the exchange rate and improve overall market confidence.
The UAE has remained a close and reliable partner for Pakistan, providing support during difficult economic times. If the rollover is finalized as expected, it will further strengthen bilateral relations and provide timely relief to Pakistan’s economy at a crucial moment.
