Business

Pakistan secures $1 bln loan from Middle Eastern banks for economic stabilization

Published by
Web Desk

ISLAMABAD: Finance Minister Muhammad Aurangzeb announced in an interview with Reuters on Tuesday at the World Economic Forum (WEF) annual meeting in Davos that Pakistan has secured a $1 billion loan from two Middle Eastern banks. The interest rate on the loan is 6%-7%.

Aurangzeb clarified that the agreement involves two entities: one providing bilateral financing and the other offering trade finance. Both the loans are short-term with maturities of up to one year.

The funding comes as Pakistan seeks to shore up its finances after a $7 billion bailout package it secured from the International Monetary Fund (IMF) in September 2024.

Expressing confidence, Aurangzeb said, “We have the first formal review of the EFF by the end of February… I think we are in a good position for that review.”

The IMF’s EFF program provides financial assistance to countries facing serious medium-term balance of payments problems stemming from structural weaknesses that require sustained efforts to address.

The $1 billion loan from Middle Eastern banks is a significant step in Pakistan’s efforts to stabilize its economy.

Web Desk

Recent Posts

Petroleum prices lower than regional countries: Petroleum Minister

ISLAMABAD: Petroleum Minister Ali Pervaiz Malik has said that the prices of petroleum products in…

29 minutes ago

Shaheen Afridi Granted NOC to Join Kandy Royals for Lanka Premier League

ISLAMABAD: Pakistan's star fast bowler Shaheen Shah Afridi has been granted a No Objection Certificate…

2 hours ago

Iranian Rial Latest Rate in Pakistan – July 13, 2026

KARACHI: The Iranian Rial continues to face significant challenges internationally due to sanctions and economic conditions. It…

2 hours ago

Latest Gold Rate in Pakistan – July 14, 2026

KARACHI: The price of gold per tola fell across the country today, according to the…

2 hours ago

Karachi to receive three day long rains: PMD

KARACHI: Karachi would be receiving intermittent rains and showers for the next three days owing…

12 hours ago

Punjab government clarifies salary increase, revised pay scales

LAHORE: The Punjab government has issued an important clarification regarding the increase in salaries of…

13 hours ago