Finance Minister Asad Umar revealed that Pakistan will get the aid of around $4 billion from China and UAE.
Pakistan will receive $4 billion aid from UAE and China as revealed by Finance Minister Asad Umar. However, he gave the statement at the seminar arranged by Pakistan Business Council.
Asad Umar elaborated about the break-up of the expected inflow and revealed that UAE or United Arab Emirates will soon deposit $2 billion into the foreign currency reserves of State Bank of Pakistan (SBP). However, the remaining $2.1 billion will arrive from China.
Finance Minister revealed that China providing the loan at an interest rate of 2.5%, while UAE has offered Pakistan the interest rate of 3%. Investors believe that the news will create the positive impact on the Pakistan Stock Exchange.
UAE offered exactly the same bailout package that Saudi Arabia first announced in October 2018 to shore up Pakistan’s foreign currency reserves. However, Saudi Arabia had already deposited $3 billion in cash in three equal monthly tranches by January 2019. The two countries have also decided the modalities for supply of oil on credit from the current month of March.