The Government of Pakistan has signed a $375 million syndicated loan facility with Commercial banks of United Arab Emirates. The Loan comprises of both Islamic banking and Conventional tranches as per government spokesperson.
The facility was fully subscribed by a syndicate of large UAE banks comprising of Commercial Bank of Dubai (Arranger), Emirates NBD Bank, Noor Bank, Mashreqbank, Dubai Islamic Bank and Sharjah Islamic Bank.
The loan is a bridge facility for 1-year which is expected to ease pressure on Balance of Payment as foreign currency reserves drop.
The foreign currency reserves are fast depleting as it currently stood at $14.35 billion by 21-June-19.