Pakistan is looking to UAE banks for a $1 billion commercial credit.

According to a release from the Finance Ministry, Minister of Finance Muhammad Aurangzeb presided over virtual meetings with three UAE banks—Ajman Bank, Abu Dhabi Islamic Bank, and Sharjah Islamic Bank—to examine how they assist Pakistan’s fiscal and development goals.

The Minister underlined that structural changes in Pakistan are the cornerstone of this recovery and highlighted the country’s consistent progress toward macroeconomic stability.

He valued the cooperation and assistance provided by the Asian Development Bank to Pakistan’s development and fiscal objectives.

He reaffirmed the government’s strong commitment to long-term reforms, which include rightsizing the federal government, reorganizing State-Owned Enterprises, and an active privatization program.

The Finance Minister underlined Pakistan’s transition to an export-led and productive growth model and reiterated its willingness to enter into high-caliber business alliances that support development funding, investor confidence, and economic expansion.

Senior officials from the three banks expressed gratitude for Pakistan’s accomplishments during the interactive sessions.

Sources claim that the Ministry of Finance formally applied for the $1 billion commercial loan in an attempt to meet an IMF requirement that calls for a rise in foreign exchange reserves.

In order to strengthen the State Bank of Pakistan’s reserves, the administration hopes to obtain the loan by June 30.

The IMF has set a goal for Pakistan to increase its foreign exchange reserves to $13.9 billion by the end of June, according to the sources.

Three months’ worth of imports might be covered by the $14 billion in net reserves held by the State Bank.