<p>Islamabad: <a href="https://www.deccanherald.com/tags/pakistan">Pakistan</a> has returned the total $3.45 billion it owed in debt to the <a href="https://www.deccanherald.com/tags/united-arab-emirates">United Arab Emirates</a> (UAE), the country's central bank said Friday.</p><p>The State Bank of Pakistan (SBP) in a social media post confirmed the repayment and said that the transaction was completed on Thursday.</p><p>"State Bank of Pakistan repaid a deposit of $1 billion to Abu Dhabi Fund for Development (ADFD), UAE on April 23, 2026. Deposits of $2.45 billion were repaid last week. This completes the repayment of total deposits of $3.45 billion to UAE," it said.</p><p>The announcement came days after Pakistan received a $3 billion financial aid from Saudi Arabia. The deposit came in two tranches, with the second tranche of $1 billion received on April 21.</p>.Pakistan returns $2 billion to UAE, confirms central bank.<p>The UAE had asked for the immediate return of the funds in the wake of the recent situation in West Asia following the US-Israel war on Iran.</p><p>These funds were part of external financing support extended by the UAE in 2019 to help stabilise Pakistan's balance of payments, according to The Dawn newspaper.</p><p>In March, Islamabad failed to secure an agreement with the UAE to roll over the $3.5 billion facility, marking the first such failure in seven years and raising concerns about near-term financing gaps.</p><p>Pakistan's foreign exchange position, though under pressure, remains part of a broader stabilisation effort under IMF-supported reforms.</p><p>Quoting analysts, the report said, external financing risks remain a key vulnerability, particularly amid volatile energy prices and constrained global capital markets.</p>
<p>Islamabad: <a href="https://www.deccanherald.com/tags/pakistan">Pakistan</a> has returned the total $3.45 billion it owed in debt to the <a href="https://www.deccanherald.com/tags/united-arab-emirates">United Arab Emirates</a> (UAE), the country's central bank said Friday.</p><p>The State Bank of Pakistan (SBP) in a social media post confirmed the repayment and said that the transaction was completed on Thursday.</p><p>"State Bank of Pakistan repaid a deposit of $1 billion to Abu Dhabi Fund for Development (ADFD), UAE on April 23, 2026. Deposits of $2.45 billion were repaid last week. This completes the repayment of total deposits of $3.45 billion to UAE," it said.</p><p>The announcement came days after Pakistan received a $3 billion financial aid from Saudi Arabia. The deposit came in two tranches, with the second tranche of $1 billion received on April 21.</p>.Pakistan returns $2 billion to UAE, confirms central bank.<p>The UAE had asked for the immediate return of the funds in the wake of the recent situation in West Asia following the US-Israel war on Iran.</p><p>These funds were part of external financing support extended by the UAE in 2019 to help stabilise Pakistan's balance of payments, according to The Dawn newspaper.</p><p>In March, Islamabad failed to secure an agreement with the UAE to roll over the $3.5 billion facility, marking the first such failure in seven years and raising concerns about near-term financing gaps.</p><p>Pakistan's foreign exchange position, though under pressure, remains part of a broader stabilisation effort under IMF-supported reforms.</p><p>Quoting analysts, the report said, external financing risks remain a key vulnerability, particularly amid volatile energy prices and constrained global capital markets.</p>