Pakistan has repaid a total of $3.45 billion in deposit to the United Arab Emirates (UAE), the State Bank of Pakistan confirmed on Friday, marking a significant development in the country’s external financial management.
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According to the central bank, the repayment included $1 billion returned to the Abu Dhabi Fund for Development, while the remaining $2.45 billion was repaid directly to the UAE government last week. The deposits were part of financial support extended to Pakistan in recent years to help stabilise its foreign exchange reserves and manage balance-of-payments pressures.
State Bank of Pakistan repaid deposit of US$ 1 billion to Abu Dhabi Fund for Development (ADFD) UAE on 23April2026. Deposits of $2.45 billion were repaid last week. This completes the repayment of total deposits of $3.45 billion to UAE.
— SBP (@StateBank_Pak) April 24, 2026
The repayment comes at a time when Pakistan is working to strengthen its economic fundamentals and improve investor confidence. Returning such a large sum signals an effort to meet international obligations and maintain credibility with key financial partners.
The UAE has been one of Pakistan’s longstanding economic allies, frequently providing financial assistance during periods of economic stress. These deposits typically serve as a buffer for foreign reserves, helping the country navigate external account challenges.
Officials have not disclosed whether the funds will be rolled over or replaced through fresh arrangements, a common practice in past agreements between the two countries. However, the move is being viewed as part of broader efforts to manage debt responsibly while engaging with international lenders and friendly nations.
Pakistan continues to face economic challenges, including the need to sustain foreign exchange reserves, manage inflation, and ensure stable energy supplies. In this context, maintaining strong financial ties with partners like the UAE remains crucial.
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The central bank’s confirmation of the repayment underscores Pakistan’s ongoing commitment to fulfilling its financial obligations while navigating a complex economic environment.