By Admin 
UAE Deadline to Pakistan: The troubles for Pakistan are not showing signs of diminishing. The United Arab Emirates (UAE) had given a loan of 2 billion dollars to Pakistan, which has now been promised to be returned in the next one month with the current interest rate of 6.5 percent. Quoting senior officials of the federal government and the Central Bank, The Express Tribune reported that UAE has extended two loans of $1 billion each, which matured on January 16 and 22.
UAE takes strict stance on loans
He said the loan has been extended by one month to allow time for further negotiations on the tenure and interest rate. Pakistan wants a two-year rollover for the loan received from UAE and wants the interest rate on it to be around 3 percent.
However, UAE has adopted a strict stance and has now given only 30 days time. Officials said the request to extend the loan one more time is being made because its repayment would create a financing gap that would need to be filled from other sources.
Why did UAE take strict action?
It is believed that the UAE has now decided to adopt a tough stance against Pakistan on the issue of Pakistan supporting Saudi Arabia in the dispute between Saudi Arabia and the United Arab Emirates on the issue of supporting separatist groups in Yemen. It would be no less than a challenge to suddenly pay such a huge amount from Pakistan at one go and that too in such a short time.
Now it remains to be seen whether UAE responds to Pakistan’s appeal to extend the loan repayment period. Under Pakistan’s $7 billion program with the International Monetary Fund, the UAE, Saudi Arabia and China have pledged to deposit a total of $12.5 billion in the State Bank of Pakistan by the time the program ends in September next year.
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