Pakistan Repays $2 Billion UAE SAFE Deposit Loan
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Pakistan has successfully repaid a $2 billion SAFE deposit to the United Arab Emirates following the maturity of funds previously placed with the State Bank of Pakistan, the central bank confirmed on Saturday.
According to a spokesperson for the State Bank of Pakistan, the amount was transferred to the United Arab Emirates after the completion of its agreed deposit term. The funds had been maintained as part of a special foreign exchange support arrangement designed to strengthen Pakistan’s external financial position during periods of economic pressure.
The repayment reflects Pakistan’s continued effort to meet its financial obligations to friendly countries that have provided crucial support through deposit-based financing arrangements. Such inflows have historically played a significant role in stabilizing the country’s foreign exchange reserves and supporting overall macroeconomic stability.
Officials noted that these SAFE deposits have helped reinforce investor confidence while Pakistan continues to implement broader economic reforms and manage external financing needs.
No details were provided regarding any renewal of the deposit or future financial arrangements between Pakistan and the United Arab Emirates.
The development comes as Pakistan continues to balance external repayments with efforts to maintain reserve stability and support long-term economic recovery.
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