Pakistan has requested a $10 billion [1] exchange stabilization facility from the U.S. to shore up its foreign-exchange reserves.
The request comes as the South Asian nation faces a severe balance-of-payments crisis. Securing these funds would provide a critical buffer against economic instability and prevent a potential default on international obligations.
A source briefed on the matter said the facility is intended to stabilize the currency and provide a lifeline for the cash-strapped economy [1]. The move highlights the urgency of Pakistan's financial situation as it struggles to maintain sufficient reserves to cover imports and debt repayments.
Finance Minister Muhammad Aurangzeb has simultaneously engaged with other international creditors. In a separate statement, Aurangzeb said the government remains committed to an economic transformation agenda and is reviewing reform progress with leadership from the International Monetary Fund [2].
While reports of the request to the U.S. government have surfaced, some outlets have noted a lack of public confirmation from the Finance Minister's office regarding the specific U.S. bid [2]. The discrepancy suggests that the request may be handled through diplomatic channels rather than public announcements.
If approved, the $10 billion [1] injection would represent one of the largest direct stabilization efforts requested by Pakistan from Washington. The facility would focus specifically on exchange stability rather than the broader structural adjustment loans typically provided by the IMF.
“Pakistan has asked the United States for a $10 billion exchange stabilization facility.”
This request indicates that Pakistan's current agreements with the IMF may be insufficient to ensure long-term currency stability. By seeking a stabilization facility from the U.S., the government is attempting to diversify its financial support and secure a more immediate liquidity cushion to avoid a total economic collapse.
