economy
April 16, 2026
Saudi pledges $3 billion to Pakistan amid UAE debt pressure
Saudi Arabia commits $3 billion to Pakistan as Islamabad faces pressure to repay a $3.5 billion UAE loan and meet IMF-backed financing requirements.
TL;DR
- Saudi Arabia has committed an additional $3 billion in financial aid to Pakistan.
- The disbursement of Saudi aid is expected within the coming week.
- Pakistan's Prime Minister Shehbaz Sharif will visit Saudi Arabia shortly.
- This aid is crucial as Pakistan needs to repay $3.5 billion to the UAE this month.
- The UAE had previously provided a loan in 2019 to help Pakistan with a balance of payments crisis.
- Pakistan is required to secure around $12.5 billion in rollovers from China, Saudi Arabia, and the UAE under its IMF agreement.
- Pakistan's ties with the UAE have been strained due to security partnerships with India and visa restrictions.
- Qatar may replace the UAE in providing financial support.
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