Pakistan completed repayment of $3.45 billion in deposits to the United Arab Emirates, returning a final $1 billion tranche, Pakistan’s central bank said Friday.
Pakistan had to arrange $3 billion in fresh financing from Saudi Arabia to support its foreign reserves.
The UAE placed the deposits with Pakistan in 2018 to bolster foreign exchange reserves.
The repayment comes weeks after the UAE asked Pakistan to return the funds without publicly explaining the reason for the abrupt request.
Media reports in Pakistan suggested the UAE’s request was linked to geopolitical differences over regional developments, though the government in Islamabad has downplayed such claims, maintaining that bilateral ties remain strong.
Source: AP news
