Pakistan Seeks $4 Billion from Gulf Countries to Secure IMF Bailout

ISLAMABAD: Pakistan is actively seeking $4 billion in funding from banks in Gulf countries to meet its external financing needs, a crucial step toward securing approval for an International Monetary Fund (IMF) bailout, ARY News reported, citing sources.

The government is exploring various alternative sources to bridge its external financing gap, including negotiations with Dubai Islamic Bank and Mashreq Bank. According to sources, Finance Minister Muhammad Aurangzeb recently held an online meeting with the CEO of Dubai Islamic Bank to discuss potential investment opportunities.

Pakistan faces significant external financing challenges, with $26.4 billion in debt repayments due in the current financial year. To address this, the country is not only seeking $4 billion in commercial loans from Gulf banks but is also negotiating the rollover of $12 billion in loans from China and Saudi Arabia.

These efforts are part of a broader strategy to stabilize Pakistan’s economy and secure the necessary funds to meet its international obligations, which are critical for gaining IMF support.