Pak Army chief reaches out to UAE, Saudi for bailout package
August 06, 2022  13:35
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Days after seeking United States help in securing an early release of a crucial USD 1.7 billion instalment from the International Monetary Fund to Pakistan, Army chief General Qamar Javed Bajwa has now reached out to Saudi Arabia and the UAE as part of his efforts to ensure financial assistance for the cash-strapped nation, according to a media report on Saturday.
 
As the Executive Board of the International Monetary Fund is set to meet later this month to formally approve the next tranche of USD 1.2 billion instalment, the international lender wants Pakistan to ensure it receives commitment from its friends for financial assistance, the Express Tribune newspaper reported.
 
It is believed that the IMF has asked Pakistan to provide firm guarantees that its friends would provide USD 4 billion for its external requirements.
 
Pakistan is in talks with key allies like Saudi Arabia, the UAE and China to provide the necessary funding, the report said.
 
When Prime Minister Shehbaz Sharif travelled to Saudi Arabia in April, he returned empty-handed as Riyadh had not given any firm assurance. The UAE was also reluctant to come to the rescue. Instead of providing loans, the UAE offered Pakistan to buy shares and assets.
 
"Against this backdrop, the army is believed to have spoken to the authorities both in Saudi Arabia and the UAE for financial help," the report said.
 
Pakistan Army's media wing in a statement on Friday said that General Bajwa received a telephone call from UAE President Mohamed bin Zayed al-Nahyan during which the Gulf leader expressed deepest condolences over the tragic loss of precious lives due to the helicopter crash in Lasbela.
 
It, however, made no mention of any talks related to financial aid to Pakistan.
 
The latest development came days days after Bajwa reportedly spoke to US Deputy Secretary of State Wendy Sherman in July last week seeking Washington's help for an early meeting of the IMF Executive Board.
 
Bajwa spoke over phone with Sherman and also appealed to the White House and the US Treasury Department to push the IMF to immediately expedite the nearly USD 1.2 billion loan, state-run news agency Associated Press of Pakistan had reported, quoting sources in the Pakistan Army.
 
However, the Foreign Office had feigned ignorance if the two leaders talked about economy even as it confirmed that Bajwa and Sherman had a telephonic conversation.
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