ISLAMABAD: Pakistan is seeking loans totalling up to $350 million from commercial banks in the United Arab Emirates to meet its external financing needs.

According to informed banking sources, Finance Minister Muhammad Aurangzeb has been in discussions with these banks to revive their loan portfolio with Pakistan, and the finalisation of the loan is expected to occur very soon.

In the first three quarters of the current fiscal year, the government received about $504m from foreign lenders (mostly UAE-based), showing a minor recovery from commercial banks that had stayed away from financing Pakistan last year.

The government has budgeted $3.8bn in financing from foreign banks for the current fiscal year, but the actual realisation has been sluggish in the first nine months.

The government had also targeted $1bn in international bonds for FY25. Another projection of $9bn inflows from bilateral partners — China and Saudi Arabia — was targeted for the current fiscal year. These projections include a $5bn time deposit from Saudi Arabia and $4bn China’s SAFE deposit. These projections are........

© Dawn Business