Pakistan expects a response from the United States within the next few months on its request for a $10 billion bilateral stabilisation facility, as Islamabad seeks to build on improving relations with the Trump administration.
Adviser to the Finance Minister Khurram Schehzad said on Tuesday that discussions with Washington over the proposed arrangement had been “constructive”.
“The proposed US stabilisation facility would also serve as a potential backstop and confidence signal, supporting market access and helping crowd in private capital,” Schehzad told Bloomberg.
Pakistan approached US Treasury Secretary Scott Bessent last month to seek a Bilateral Exchange Stabilisation Support Facility with a maturity of up to five years, according to an earlier Reuters report.
Finance Minister Muhammad Aurangzeb confirmed the request last week, stressing that the proposed $10 billion arrangement should not be viewed as a conventional loan or credit facility.
“This is not about a credit line or a loan or whatever,” Aurangzeb said. “This is a signal about our currency stability, a signal about exchange rate stability, and that in turn allows us to go to the markets to raise debt.”
The government hopes the facility would strengthen confidence in Pakistan’s currency and foreign exchange position, improve its ability to access international capital markets and encourage greater private investment.
Islamabad now expects Washington to communicate its decision on the proposal within the next couple of months.