Pakistan will repay USD 3.5 billion to the UAE by month-end to maintain 'national dignity,' despite pressure on foreign reserves. It has asked Pakistan to repay the short-term soft loan given to cope with the financial emergency. According to recent data cited by Dawn, Pakistan’s central bank reserves stand at roughly USD 16.3 billion. The repayment of USD 3.5 billion could reduce reserves by nearly 18 percent, significantly weakening the country’s external buffer and limiting import cover. Government Response and MonitoringPakistan’s Finance Ministry stated on X that it is 'continuously monitoring and managing Pakistan's external flows to ensure stable foreign exchange reserves.'

Source: dna April 04, 2026 08:17 UTC