UAE Agrees To Give Immediate $2 Billion Amid Financial Crisis

UAE Agrees To Give Immediate $2 Billion Amid Financial Crisis
The United Arab Emirates has agreed to immediately grant an existing loan of $2 billion to Pakistan, with an additional $1 billion pledged for later release.

According to Prime Minister’s Office, the agreement came after a meeting between UAE President Sheikh Mohamed bin Zayed Al Nahyan and Prime Minister Shehbaz Sharif in Abu Dhabi, on Thursday.

PM Shehbaz is currently on a two-day visit to strengthen bilateral ties in the areas of economy, trade and investment.

The statement also said that the UAE president admired the historical ties between the two countries and the contributions of the Pakistanis residing in the country.

“The two leaders discussed fraternal relations existing between Pakistan and the UAE; and explored ways and means to further strengthen these ties, especially in the fields of trade, investment and energy," the statement said

The duo also "exchanged their views on regional and international issues of mutual interest," it added.

The premier on the occasion invited Sheikh Mohamed bin Zayed to visit Pakistan, which was accepted. The dates of the forthcoming meeting would be decided through diplomatic channels at a later time.

https://twitter.com/GovtofPakistan/status/1613486967383015427

On Tuesday (Jan 10) Saudi Arabia's Crown Prince Mohammed bin Salman ordered the exploration of ways and means to increase the Kingdom’s financial assistance to and investments in Pakistan, a much welcome step toward providing desperate relief to the South Asian economy reeling from last year’s catastrophic floods.

The Saudi Fund for Development (SFD) has been authorised to conduct a study on increasing the Kingdom’s deposit in Pakistan’s central bank to $5 billion from the earlier $3 billion, according to the Saudi Press Agency. It will also assess the plan to increase investments in Pakistan to $10 billion.

The SFD provides soft loans and grants to developing countries as a means to bolster allies' economies and cement sustainable relations with the Kingdom. The announcement came a day after the Crown Prince and Saudi prime minister met Pakistan’s army chief General Syed Asim Munir to review ways to enhance bilateral ties and strengthen cooperation.

Pakistan's economy is strapped for funds after a gridlock with the International Monetary Fund over tax targets delaying disbursal of loan installments.