With the announcement of Abu Dhabi Fund for Development last week, that it will deposit $3 billion in the State Bank of Pakistan, the details of the package the country is expected to receive from the United Arab Emirates are emerging.
Pakistan is set to receive $6 billion worth of assistance package from the UAE, sources disclosed.
They said that besides the amount, the brotherly country will deposit in the central bank to shore up Pakistan’s forex reserves, the UAE will also extend oil facility on deferred payment.
Last week, the UAE announced to deposit $3 billion (equivalent to Dh11 billion) in the State Bank of Pakistan to support the financial and monetary policy of the Islamic Republic of Pakistan.
The Abu Dhabi Fund for Development had said that it would deposit the said amount in the coming days to enhance liquidity and monetary reserves of foreign currency at the Bank.
Sources said the interest rate on the amount the UAE will deposit in the State Bank of Pakistan (SBP) will be 2.18 percent.
The package comprises of easy loans and budgetary support. In addition, the UAE is also expected to extend oil worth $3 billion on credit.
The country will receive oil worth $250 million every month to Pakistan for the next three years.