UAE rolls over existing $2bn loan, agrees to provide additional $1bn

[muhammadhafeezmalik]

UAE rolls over existing $2bn loan, agrees to provide additional $1bn​

Announcement comes after PM reached UAE on two-day visit

The United Arab Emirates on Thursday agreed to roll over the existing loan of $2 billion and provide an additional loan of $1 billion, said a statement from the Prime Minister’s Office.


“Prime Minister Muhammad Shehbaz Sharif met Sheikh Mohamed bin Zayed Al Nahyan, President of the United Arab Emirates in Abu Dhabi today,” it said. “Mohamed bin Zayed welcomed Prime Minister Sharif to Abu Dhabi and wished progress and prosperity for Pakistan. He praised the historical relations between the two nations and the valuable contributions made by the Pakistani community in the UAE.”


PM Shehbaz invited the UAE president on a state visit to Pakistan to which he agreed. The dates will be decided through diplomatic channels, the statement added.


PM Shehbaz had earlier reached UAE on a two-day official visit at the invitation of the UAE president.

He was received by UAE’s Minister for Economic Affairs Abdullah Touq Al Mari at the Abu Dhabi airport.

https://twitter.com/x/status/1613437734885986308

After landing in UAE, the PM tweeted that his visit was aimed at “building on the conversation” with President Sheikh Al Nahyan.

https://twitter.com/x/status/1613463610486886400

“We share a resolve and understanding that continuous efforts need to be made to further strengthen trade, investment and economic relations,” PM Shehbaz said.


As per the Foreign Office (FO), the PM was due to hold discussions with a particular focus on advancing economic, trade and investment ties between the two countries.


“The two leaders will exchange views on a range of regional and global issues of mutual interest,” the FO added.


PM Shehbaz will also meet with His Highness Sheikh Muhammad bin Rashid Al Maktoum, the PM and Vice President of the UAE.


This is the PM’s third visit to the UAE after assuming office. The premier is accompanied by a high-level delegation, including key members of the cabinet.


‘Wish list’ ready to be presented to UAE’s leadership


During the latest visit, PM Shehbaz will hold meetings with Emirati businessmen and investors to discuss ways to enhance bilateral trade and investment.


“Pakistan and the United Arab Emirates enjoy close and fraternal ties based on common faith and traditions, shared history and heritage; deep-rooted cultural affinities, geographic proximity and identity of view on several regional and global issues. Regular high-level exchanges and visits are a key feature of this relationship,” the FO said.


Citing reports, Reuters said PM Shehbaz will seek a fresh economic package and will also seek deferment of a $2 billion loan repayment to the UAE due in the coming weeks. The news agency also quoted sources as saying the PM will hold talks for finalising a $2 billion investment in Pakistan.


Earlier, sources told Business Recorder that the government has prepared a “wish list” to be presented to UAE’s top brass.


During a meeting on the proposed scheduled visit of the PM, Minister for Finance and Revenue Muhammad Ishaq Dar said it was essential that the Pakistan side went there with a focused and well-prepared agenda.


He said government priorities should be: (i) roll-over of the amounts already deposited by the UAE with State Bank; an announcement to this effect during this visit would be very helpful; (ii) request UAE to beef up its deposits by an additional $2 billion; (iii) effort should be made to settle the long-standing Etisalat/PTCL issue; and (iv) Prime Minister may like to meet the head or CEO of Abu Dhabi Holdings and Chairman of Abu Dhabi Investment Authority.

UAE rolls over existing $2bn loan, agrees to provide additional $1bn

Announcement comes after PM reached UAE on two-day visit

www.brecorder.com

 

[Jango]

Yay more bheek...can't wait to see how this money will be used to satisfy Dar's wet dreams.

 

[tman786]

No one begs better than patwaris..dollars or permission to go abroad for medical treatment. Patwaris can't be beaten.

 

[maithil]

Didn't Pakistan just pay back a billion dollars to Dubai Banks ? So they are just giving back the amount they took back few days ago..

 

[Dalit]

Didn't Pakistan just pay back a billion dollars to Dubai Banks ? So they are just giving back the amount they took back few days ago..

Beggars like to go in circles.

 

[Realtalk108]

Didn't Pakistan just pay back a billion dollars to Dubai Banks ? So they are just giving back the amount they took back few days ago..

Yup. Basically a rollover

I think IMF has put in some pretty extreme terms this time. Or else they would have gotten the deal by now. They are in talks with IMF for last few months. In fact IK was kicked out precisely to get the deal done. But still nothing.

Basically, IMF will ask to devalue the currency or may be even a true float. Bring subsidies to near zero. Sell all loss making PSUs. Curb on all big infra projects and any further large loan from China. Every new loan will be scrutinized.

An IMF deal will mean petrol price will reach India's level at once - 33% increase immediately and then further, depending on exchange rate. Food prices will soar in the open market. IMF will only allow basic staple and kerosene/LPG to be subsidized (rationed, of course). Inefficient PSUs will shut down. Unemployment will hit double digits in the short term.

Then Islamabad will have to restart the export sector, pronto. And while they are at it, they need to boost the PDS. People are going to need it.

If all goes well, in about 2 years, things will start to improve.

 

[undercover JIX]

Yessssssss, Shehbaz Speed a true leader who can fix all Pakistan problems.

 

[Clutch]

I didn't know UAE official were that retarded and naive.... Giving Money to a sinking ship failed state of Pakistan.

Only Imran Khan can save this sinking ship.

 

[TNT]

As usual he banana pathetic republic on a begging spree.

 

[muhammadhafeezmalik]

Yay more bheek...can't wait to see how this money will be used to satisfy Dar's wet dreams.

Package hay, Sir.

 

[PakFactor]

Yup. Basically a rollover

I think IMF has put in some pretty extreme terms this time. Or else they would have gotten the deal by now. They are in talks with IMF for last few months. In fact IK was kicked out precisely to get the deal done. But still nothing.

Basically, IMF will ask to devalue the currency or may be even a true float. Bring subsidies to near zero. Sell all loss making PSUs. Curb on all big infra projects and any further large loan from China. Every new loan will be scrutinized.

An IMF deal will mean petrol price will reach India's level at once - 33% increase immediately and then further, depending on exchange rate. Food prices will soar in the open market. IMF will only allow basic staple and kerosene/LPG to be subsidized (rationed, of course). Inefficient PSUs will shut down. Unemployment will hit double digits in the short term.

Then Islamabad will have to restart the export sector, pronto. And while they are at it, they need to boost the PDS. People are going to need it.

If all goes well, in about 2 years, things will start to improve.

Someone I know who works for IMF as a consultant said the main sticky point the current regime is avoiding is the accountability part. IMF (and other parties) ask for a committee to account for each dollar spent, and IMF would sign off. In addition, they want to set critical goals for growth, etc.

The first thing I mentioned is what everyone is trying to avoid. PDM & Co. want funds, but no questions are asked about how, when, and where it's spent and why this concerns PDM & Co. because reforms also go much deeper into the bureaucracy.

 

[GriffinsRule]

Yay more bheek...can't wait to see how this money will be used to satisfy Dar's wet dreams.

This is the state of our state visits now. Beyond pathetic

 

[HAIDER]

UAE rolls over existing $2bn loan, agrees to provide additional $1bn​

Announcement comes after PM reached UAE on two-day visit

The United Arab Emirates on Thursday agreed to roll over the existing loan of $2 billion and provide an additional loan of $1 billion, said a statement from the Prime Minister’s Office.


“Prime Minister Muhammad Shehbaz Sharif met Sheikh Mohamed bin Zayed Al Nahyan, President of the United Arab Emirates in Abu Dhabi today,” it said. “Mohamed bin Zayed welcomed Prime Minister Sharif to Abu Dhabi and wished progress and prosperity for Pakistan. He praised the historical relations between the two nations and the valuable contributions made by the Pakistani community in the UAE.”


PM Shehbaz invited the UAE president on a state visit to Pakistan to which he agreed. The dates will be decided through diplomatic channels, the statement added.


PM Shehbaz had earlier reached UAE on a two-day official visit at the invitation of the UAE president.

He was received by UAE’s Minister for Economic Affairs Abdullah Touq Al Mari at the Abu Dhabi airport.

https://twitter.com/x/status/1613437734885986308

After landing in UAE, the PM tweeted that his visit was aimed at “building on the conversation” with President Sheikh Al Nahyan.

https://twitter.com/x/status/1613463610486886400

“We share a resolve and understanding that continuous efforts need to be made to further strengthen trade, investment and economic relations,” PM Shehbaz said.


As per the Foreign Office (FO), the PM was due to hold discussions with a particular focus on advancing economic, trade and investment ties between the two countries.


“The two leaders will exchange views on a range of regional and global issues of mutual interest,” the FO added.


PM Shehbaz will also meet with His Highness Sheikh Muhammad bin Rashid Al Maktoum, the PM and Vice President of the UAE.


This is the PM’s third visit to the UAE after assuming office. The premier is accompanied by a high-level delegation, including key members of the cabinet.


‘Wish list’ ready to be presented to UAE’s leadership


During the latest visit, PM Shehbaz will hold meetings with Emirati businessmen and investors to discuss ways to enhance bilateral trade and investment.


“Pakistan and the United Arab Emirates enjoy close and fraternal ties based on common faith and traditions, shared history and heritage; deep-rooted cultural affinities, geographic proximity and identity of view on several regional and global issues. Regular high-level exchanges and visits are a key feature of this relationship,” the FO said.


Citing reports, Reuters said PM Shehbaz will seek a fresh economic package and will also seek deferment of a $2 billion loan repayment to the UAE due in the coming weeks. The news agency also quoted sources as saying the PM will hold talks for finalising a $2 billion investment in Pakistan.


Earlier, sources told Business Recorder that the government has prepared a “wish list” to be presented to UAE’s top brass.


During a meeting on the proposed scheduled visit of the PM, Minister for Finance and Revenue Muhammad Ishaq Dar said it was essential that the Pakistan side went there with a focused and well-prepared agenda.


He said government priorities should be: (i) roll-over of the amounts already deposited by the UAE with State Bank; an announcement to this effect during this visit would be very helpful; (ii) request UAE to beef up its deposits by an additional $2 billion; (iii) effort should be made to settle the long-standing Etisalat/PTCL issue; and (iv) Prime Minister may like to meet the head or CEO of Abu Dhabi Holdings and Chairman of Abu Dhabi Investment Authority.

UAE rolls over existing $2bn loan, agrees to provide additional $1bn

Announcement comes after PM reached UAE on two-day visit

www.brecorder.com

Govt never post the complete news ...what is the rate of interest ?

 

[GriffinsRule]

I didn't know UAE official were that retarded and naive.... Giving Money to a sinking ship failed state of Pakistan.

Only Imran Khan can save this sinking ship.

Its not free money or aid bro.

 

[epebble]

Someone I know who works for IMF as a consultant said the main sticky point the current regime is avoiding is the accountability part. IMF (and other parties) ask for a committee to account for each dollar spent, and IMF would sign off. In addition, they want to set critical goals for growth, etc.

The first thing I mentioned is what everyone is trying to avoid. PDM & Co. want funds, but no questions are asked about how, when, and where it's spent.

This is not a new discovery. Pakistan's problems with, ahem, 'bookkeeping' have been known for well over 30 years. The irony is that the finance minister is an accountant who hates accounting. But he practices false economizing without understanding economics.