Aurangzeb says Pakistan not yet requested additions or changes to its $7b IMF lending programme due to US-Iran war<\/p>\n
Pakistan Finance Minister Muhammad Aurangzeb speaks during an interview at the International Monetary Fund and World Bank Group\u2019s annual spring meetings in Washington DC, US, April 13, 2026, PHOTO: REUTERS <\/p>\n
Pakistan is considering Eurobonds, loans from other countries and commercial debt to replace a $3.5 billion facility \u200cfrom the United Arab Emirates (UAE) and manage its foreign reserves, Finance Minister Muhammad Aurangzeb said.<\/p>\n
Aurangzeb also told Reuters the shock from the ongoing war in the Middle East meant that Pakistan must consider a strategic petroleum reserve and a faster switch to renewable energy.<\/p>\n
“All options are on the \u200btable,” Aurangzeb said when asked if the government was in talks with Saudi Arabia for a loan that \u200bcould replace the UAE facility.<\/p>\n
Reuters reported that Pakistan will return a $3.5billion loan<\/a> to the UAE this \u2060month, putting pressure on its reserves and risking breaches of its International Monetary Fund (IMF) programme targets.<\/p>\n Pakistan has \u200bbeen thrust into the international spotlight as it plays the role of a mediator<\/a> between the US and Iran to end the \u200bwar in the Middle East.<\/p>\n Aurangzeb, speaking on the sidelines of the IMF\/World Bank annual spring meetings<\/a>, said the country could manage all debt repayments, and that its reserves remained at roughly 2.8 months of import cover. Maintaining at least that level, he said, would be “an important aspect of \u200bour overall macro stability as we go forward”.<\/p>\n “We are looking at Eurobond, we are looking at Islamic sukuk, we are \u200blooking at dollar-settled rupee-linked bonds,” Aurangzeb said, adding that they expected to issue Eurobonds this year and are also exploring commercial loans.<\/p>\n