Pakistan likely to get yet another $3 billion deferred oil payment facility: Report

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Pakistan likely to get yet another $3 billion deferred oil payment facility: Report

ISLAMABAD - The $3 billion committed to being parked in the central bank by the United Arab Emirates will be parked in the State Bank of Pakistan (SBP).

It will have an interest rate of 2.18%, said sources.

Moreover, sources stated the financial package from the UAE is expected to contain cheaper loans and budget support as part of the economic aid.

It is expected that oil will be provided on deferred payment facilities worth $3 billion for a three-year duration which is equivalent to $250 million a month.

It announced its intention to deposit $3 billion (equivalent to AED11 billion) in the State Bank of Pakistan (SBP) “to support the financial and monetary policy of the country”, reported *WAM,* the official news agency of the Emirates.

The Abu Dhabi Fund for Development said in a statement that it will deposit the amount in the coming days to enhance liquidity and monetary reserves of foreign currency at the bank.

The country’s support for Pakistan’s fiscal policy is based on the historical ties between the two people, said WAM, and the two friendly countries and the desire to further develop the bilateral cooperation in all fields.

According to sources at the finance ministry, the $3 billion, Pakistan expected to get from UAE, was a loan.