10.5 C
Perth
October 15, 2019
Business Latest Pakistan Top Stories

Pakistan all set to receive $6bn bailout package from UAE

ISLAMABAD: Pakistan is all set to receive $6 billion financial packages from the United Arab Emirates, which also include the supply of oil on deferred payment.

Sources said that Pakistan and UAE have finalized the terms and conditions of the financial package and it will be signed during UAE Crown Prince visit of Pakistan.

United Arab Emirates (UAE) Crown Prince Sheikh Mohammed bin Zayed Al Nahyan is expected to arrive in Pakistan tomorrow. The package will be announced during the Crown Prince’s visit.

Officials said that the package involves $3.2bn worth of oil supplies on deferred payment, besides a $3bn cash deposit.

In December, UAE had announced to deposit $3 billion in State Bank of Pakistan as a balance of payment support.

Media reports said the UAE’s package was exactly of the same size and terms and conditions as given by Saudi Arabia.

With this, Pakistan would get a total saving of about $7.9bn on oil and gas imports from the two friendly countries — accounting for more than 60 per cent of annual oil import bill of about $12-13bn.

This includes about $3.2bn each of oil supplies on deferred payments from the UAE and Saudi Arabia and about $1.5bn trade finance from the International Islamic Trade Finance Corporation (ITFC).