The United Arab Emirates (UAE) has extended the rollover of a two billion dollar loan to Pakistan by one month, ARY News reported Tuesday citing sources.
According to the source, Pakistan has renewed its request to the UAE to roll over a total of three billion dollars for a longer period this year.
The two billion dollar loan matured last month, while another one billion dollar tranche is due to mature in July, sources said according to officials.
Pakistan has again asked the UAE to roll over the loans for one year under conditions linked to the International Monetary Fund programme currently agreed.
Read More: Pakistan Seeks UAE Rollover for $3bn Loan
Under IMF requirements Pakistan must secure rollovers worth twelve billion dollars in external loans during the current financial year, sources said to meet programme targets.
The rollover of three billion dollars from the UAE is a key IMF condition and the UAE holds deposits of the same amount at SBP.
Pakistan has requested all three tranches be rolled over, with sources expressing optimism the full amount will eventually be extended for one year by authorities.
Officials said this marks the first time the UAE granted only a one month extension instead of the usual one year rollover in recent years.
