The United Arab Emirates (UAE) has shifted more than $2 billion in debt over a year as the central bank called for more loans to stabilize foreign exchange reserves, which were depleted by a quarter in just two weeks.
On Monday, Pakistani authorities secured a statement from the IMF (International Monetary Fund) to calm nervous markets that could further erode the rupee’s value against the US dollar, in addition to securing the rollover.
The UAE has transferred more than $2 billion in debt for another year, Finance Minister Hamid Yaqoob Sheikh told The Express Tribune on Monday.
The facility expired last month and Pakistan had applied for a three-year extension.
Outgoing Prime Minister Imran Khan requested the $6 billion facilities in November 2018, but the UAE approved $2 billion over a three-year period that went into effect in early 2019.
It was the second major facility rescheduled by a foreign country in the past ten days.
However, foreign exchange reserves remained on a slippery path despite significant easing from China and the United Arab Emirates.
