ISLAMABAD : Prime Minister Shehbaz Sharif on Tuesday announced that the United Arab Emirates (UAE) has agreed to roll over the $2 billion loan that was due in January 2025.
Addressing a federal cabinet meeting, PM Shehbaz Sharif shared details of his recent meeting with the President of the United Arab Emirates (UAE), His Highness Sheikh Mohammed bin Zayed Al Nahyan.
During the meeting, Nahyan expressed his commitment to further investments in Pakistan, PM Shehbaz said.
“Sheikh Mohammed bin Zayed Al Nahyan has deferred the repayment of the $2 billion loan, which was due in January,” PM informed.
PM Shehbaz met the President of the UAE on Sunday at Rahim Yar Khan, where both leaders discussed economic and political relations.
According to a statement from the Prime Minister’s Office (PMO), the two leaders deliberated on a range of issues, including economic collaboration, regional stability, climate change, and the promotion of mutual interests on the global stage.
Pakistan enjoys longstanding friendly relations with the UAE, and the Gulf state is also one of the key investors in Pakistan.
The prime minister mentioned that he has directed Deputy Prime Minister Ishaq Dar to further strengthen business ties with the UAE.
On the issue of energy rates, PM Shehbaz stated that both federal and provincial governments will play their part in reducing electricity prices.
“Until energy costs are reduced, our industry and exports cannot grow,” he said.
Shehbaz informed that the government has developed 2-3 options to lower electricity prices, which will be implemented soon.
“We will have to approach the International Monetary Fund (IMF) for negotiations on this matter,” he added.
Pakistan is currently under a $7-billion, 37-month loan programme with IMF, which was signed last year in July.
