UAE signs $3 billion support package for Pakistan

Pakistan and the United Arab Emirates (UAE) signed a $3 billion support package on Tuesday as pledged by Abu Dhabi to boost the liquidity and foreign exchange reserves of the cash-strapped country.

The package was signed by Abu Dhabi Fund for Development (ADFD) Director General Mohammed Saif Al Suwaidi and the State Bank of Pakistan Director Tariq Bajwa at a ceremony here. 

According to the package, the UAE will deposit $3 billion in the State Bank of Pakistan to support the country's financial and monetary policy, the state-run WAM news agency reported.

The amount will be paid to Pakistan in three instalments.

The UAE had announced its intention to inject $3 billion cash into Pakistan via the ADFD in December 2018, a month after Prime Minister Imran Khan undertook his second trip to the country since assuming office.

The two countries earlier in January were said to have finalised the terms and conditions of the support package, which involves $3.2 billion worth of oil supplies on deferred payment in addition to the $3 billion cash deposit. - IANS