$3 billion loan will improve Pakistan’s fiscal policy: UAE envoy

Ambassador of United Arab Emirates to Pakistan Hamad Obaid Al-Zaabi talking to media on Friday, Dec. 21, 2018 in Islamabad. Ambassador Al-Zaabid said that the $3 billion loan to Pakistan from the Abu Dhabi Fund for Development would strengthen Pakistan’s fiscal and monetary policy and lead to financial stability. (Photo credit: UAE Embassy in Islamabad)
Updated 22 December 2018
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$3 billion loan will improve Pakistan’s fiscal policy: UAE envoy

  • Says UAE support based on historical ties, social and cultural links
  • Pakistani finance ministry says loan will aid homegrown stabilization

ISLAMABAD: Ambassador of United Arab Emirates to Pakistan Hamad Obaid Al-Zaabi said a $3 billion loan to Pakistan from the Abu Dhabi Fund for Development would strengthen Pakistan’s fiscal and monetary policy and lead to financial stability.

On Friday, the UAE announced it would deposit $3 billion in Pakistan’s central bank “in the next few days”, a move that will help bring a gaping current account deficit under control. 

In a statement issued by the UAE Embassy on late Friday, the ambassador said the deposit will enhance liquidity and monetary reserves of foreign currencies at the State Bank of Pakistan.

“UAE’s support to the Islamic Republic of Pakistan is based on the historical relations between the two peoples and the social and cultural ties that unite the two countries through the centuries,” the ambassador said, adding that “the bilateral relations manifest the prospects of broad horizons of cooperation in various fields.”

The government of Pakistan has welcomed UAE's announcement and the finance ministry said in a statement that “the amount will build up foreign exchange reserves, strengthen Pak Rupee and aid the success of government's ongoing homegrown stabilization programme."


Pakistan urges equal application of international law, flags Indus treaty at UN debate

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Pakistan urges equal application of international law, flags Indus treaty at UN debate

  • Pakistani envoy says silence over violations of international law are fueling conflicts from South Asia to Gaza
  • He urges the UN secretary-general to use the Charter’s preventive tools more proactively to help avert conflicts

ISLAMABAD: Pakistan’s UN ambassador on Monday called for equal application of international law in resolving global conflicts, warning that India’s decision to hold the 1960 Indus Waters Treaty in abeyance and the unresolved dispute over Kashmir continued to threaten stability in South Asia.

Speaking at an open debate of the UN Security Council on “Leadership for Peace,” Ambassador Asim Iftikhar Ahmad said selective enforcement of international law and silence in the face of violations were fueling conflicts worldwide, undermining confidence in multilateral institutions.

His remarks come months after a brief but intense military escalation between India and Pakistan in May, following a gun attack on tourists in Indian-administered Kashmir. India blamed the attack on Pakistan, a charge Islamabad denied while calling for a transparent international probe.

The attack triggered a military standoff between the two South Asian nuclear neighbors and prompted New Delhi to suspend the World Bank-brokered Indus Waters Treaty, a move Pakistan says has no basis in international law and has described as “an act of war.”

“India’s unilateral suspension of the Indus Waters Treaty — a rare and enduring example of successful diplomacy — is yet another blatant breach of international obligations that undermines regional stability and endangers the lives and livelihoods of millions,” Ahmad told the council.

He said Jammu and Kashmir remained one of the oldest unresolved disputes on the Security Council’s agenda and required a just settlement in line with UN resolutions and the wishes of the Kashmiri people, a position India has long rejected.

Ahmad broadened his remarks to global conflicts, citing Gaza, Ukraine, Sudan and other crises, and said peace could not be sustained through “selective application of international law” or by sidelining the United Nations when violations occur.

The Pakistani envoy also referred to the Pact for the Future, a political declaration adopted by UN member states this year aimed at strengthening multilateral cooperation, accelerating progress toward the 2030 development goals and reforming global governance institutions.

While welcoming the pact, Ahmad warned that words alone would not deliver peace, pointing to widening development financing gaps, rising debt distress and climate shocks that he said were reversing development gains across much of the Global South.

He called for a stronger and more proactive role for the UN Secretary-General, including earlier use of preventive tools under the UN Charter, and urged the Security Council to demonstrate credibility through consistency, conflict prevention and greater respect for international court rulings.

“No nation can secure peace alone,” Ahmad said. “It is a collective endeavor, requiring leadership, cooperation and genuine multilateralism.”