Pakistan's Repayment of $3.5 Billion UAE Loan Puts Pressure on Its Economy

Pakistan's repayment of $3.5 billion UAE loan puts pressure on its economy

Unexpected repayment of $3.5 billion UAE loan puts pressure on Pakistani economy

ISLAMABAD: Pakistan will return a $3.5 billion loan to the United Arab Emirates this month, two government officials said on Tuesday, raising pressure on reserves and risking breaches of IMF program targets with an additional $1.3 billion Eurobond repayment due by June. The repayment comes as Pakistan targets foreign exchange reserves above $18 billion by June under a $7 billion International Monetary Fund programme, which requires bilateral dep…