ISLAMABAD: The cash-starved Pakistan on Monday secured another bailout package of $3 billion from Qatar, bringing total loans by four friendly countries to nearly $16 billion in almost one year.
Advisor to Prime Minister on Finance Dr Abdul Hafeez Shaikh made the announcement through his Twitter handle.
“I want to thank the Emir of Qatar HRH Sheikh Tamim Bin Hamad Al Thani for announcing $3 billion in deposits and direct investments for Pakistan and for Qatar’s affirmation to further develop relations between the two countries”, tweeted Dr Abdul Hafeez.
The finance ministry did not immediately provide the break-up of the $3 billion Qatar aid. It was not clear how much of the amount was in shape of deposit that will land in the State Bank of Pakistan to provide temporary cushion to the dwindling reserves.
Qatar’s Emir ended his two-day visit to Pakistan a day earlier.
The tiny Gulf state is the fourth nation that has come forward to rescue Pakistan from default during past 11 months. Earlier, China has given $4.6 billion in shape of deposits and commercial loans and Saudi Arabia provided $3 billion cash deposit and $3.2 billion oil facility on deferred payments.
The United Arab Emirates -that is in a dispute with Qatar, also provided $2 billion cash deposit, which were lower that what it had initially promised to give to Pakistan.
The sources in the finance ministry had told The Express Tribune that the UAE withheld release of the last tranche of $1 billion after Prime Minister Imran Khan visited Qatar early this year.
The terms of the Qatari financial assistance have not been shared by the finance ministry. Chinese have provided SAFE deposit of $2 billion at around 1 per cent interest rate and $2.6 billion at around 5.5 per cent interest rate. The Saudi and UAE loans have been received at over 3.2 per cent interest rates.