Saudi Arabia and Qatar pledged $5 billion in financial assistance to Pakistan, easing pressure on Islamabad’s reserves and supporting external payments.
Pakistani officials confirmed the aid as the country prepares to repay $3.5 billion to the United Arab Emirates by the end of April. Abu Dhabi requested immediate settlement, and Islamabad described the repayment as a matter of national dignity.
Saudi Finance Minister Mohammed bin Abdullah Al-Jadaan met Prime Minister Shehbaz Sharif in Islamabad to discuss economic cooperation. The meeting also included Foreign Minister Ishaq Dar and Chief of Army Staff Asim Munir. While no formal agreements were signed, officials said discussions on financial support had already begun between the finance ministries.
Pakistan’s reserves currently stand at $16.4 billion. The infusion of funds from Riyadh and Doha will help stabilise external payments. Islamabad also requested an extension of its oil financing facility and expansion of existing cash deposits.
The UAE’s reluctance to extend loans longer-term stems from regional tensions. Earlier this year, Abu Dhabi extended two $1 billion loans by only a month, despite Pakistan’s request for a two-year rollover.
Meanwhile, Pakistan deployed 13,000 troops and 12–18 fighter jets to Saudi Arabia under a mutual defence pact signed last year. Reports suggest Islamabad could send up to 50,000 soldiers if regional tensions escalate further. Pakistani aircraft and personnel have already arrived at King Abdulaziz Air Base in Saudi Arabia’s eastern province.
