KARACHI: Pakistan has received another $1 billion out of a $3 billion package pledged by the UAE last year to help bring a gaping current account deficit under control, the country’s central bank said, adding that the final tranche of $1 billion would be deposited within days.
On Tuesday, the Abu Dhabi Fund for Development (ADFD) deposited $1 billion with the State Bank of Pakistan (SBP). Another $1 billion was received from the Fund in January. The UAE deposits are aimed at supporting Pakistan’s monetary policy.
“We have received $1 billion and hopefully will get the remaining $1 billion within the next couple of days,” Abid Qamar, the spokesman for the central bank, told Arab News.
The deposits come as Islamabad remains engaged in bailout talks with the International Monetary Fund.
In October, Saudi Arabia said it would loan Pakistan $6 billion, including a $3 billion deposit for its foreign currency reserves and another $3 billion in deferred oil payments. China, Pakistan’s staunchest ally and financial benefactor, has also pledged to help but has not announced the size of the assistance package yet.
In January this year, Mohammed Saif Al Suwaidi, Director General of ADFD, and Tariq Bajwa, Governor of the SBP, signed an agreement with ADFD for a $3 billion (AED11 billion) deposit into the central bank of Pakistan. The decision was taken under the directives of UAE President, Sheikh Khalifa bin Zayed Al Nahyan, and Crown Prince of Abu Dhabi, Sheikh Mohamed bin Zayed Al Nahyan.
Islamabad believes the inflows from the UAE will help improve its foreign exchange reserves, which stood at $8.11 billion on March 01, 2019. Pakistan is also hoping the United Arab Emirates will, like Saudi Arabia, offer further financial support through deferred oil payments.
“Saudi and UAE help has averted the country’s default,” financial expert Muzzamil Aslam said. “The country was able to secure loans at cheaper rates, average 3.2 percent, as compared to commercial markets where the rates are 7-8 percent.”
Pakistan receives second tranche of $1b from UAE — SBP
Pakistan receives second tranche of $1b from UAE — SBP
- Abu Dhabi pledged $3 billion last year to stave off balance of payments crisis
- Last tranche of $1 billion expected within days, central bank spokesman says
Customs seize narcotics, smuggled goods, vehicles worth $4.9 million in southwest Pakistan
- Customs seize 22.14 kg narcotics, consignments of smuggled betel nuts, Hino trucks, auto parts, says FBR
- Smuggled goods enter Pakistan’s Balochistan province from neighboring countries Iran and Afghanistan
ISLAMABAD: Pakistan Customs seized narcotics, smuggled goods and vehicles worth a total of Rs1.38 billion [$4.92 million] in the southwestern Balochistan province on Tuesday, the Federal Board of Revenue (FBR) said in a statement.
Customs Enforcement Quetta seized and recovered 22.14 kilograms of narcotics and consignments of smuggled goods comprising betel nuts, Indian medicines, Chinese salt, auto parts, a ROCO vehicle and three Hino trucks in two separate operations, the FBR said. All items cost an estimated Rs1.38 billion, it added.
Smuggled items make their way into Pakistan through southwestern Balochistan province, which borders Iran and Afghanistan.
“These operations are part of the collectorate’s intensified enforcement drive aimed at curbing smuggling and dismantling illegal trade networks,” the FBR said.
“All the seized narcotics, goods and vehicles have been taken into custody, and legal proceedings under the Customs Act 1969 have been formally initiated.”
In the first operation, customs officials intercepted three containers during routine checking at FEU Zariat Cross (ZC) area. The containers were being transported from Quetta to Pakistan’s Punjab and Khyber Pakhtunkhwa provinces, the FBR said.
The vehicles intercepted included three Hino trucks. Their detailed examination led to the recovery of the smuggled goods which were concealed in the containers.
In the second operation, the staff of the Collectorate of Enforcement Customs, Quetta, intercepted a ROCO vehicle at Zariat Cross area with the local police’s assistance.
The driver was interrogated while the vehicle was searched, the FBR said.
“During interrogation, it was disclosed that drugs were concealed inside the spare wheel at the bottom side of the vehicle,” it said.
“Upon thorough checking, suspected narcotics believed to be heroin was recovered which was packed in 41 packets, each weighing 0.54 kilograms.”
The narcotics weighed a total of 22.14 kilograms, with an estimated value of Rs1.23 billion in the international market, the FBR concluded.
“The Federal Board of Revenue has commended the Customs Enforcement Quetta team for their effective action and reiterated its firm resolve to combat smuggling, illicit trade and illegal economic activities across the country,” it said.
