A media report said on Friday that Pakistan will repay a loan of $ 2 billion to the United Arab Emirates (UAE) by the end of this month.“The UAE had recently asked for immediate return of the funds in view of the recent situation in the Middle East following the US-Israel war on Iran,” sources told Geo News as quoted by PTI.The loan was provided to support Pakistan’s balance of payments, and the amount was kept with the State Bank of Pakistan (SBP) as safe deposits. Insiders said Pakistan was paying around 6 per cent interest on the amount.In the past, the UAE used to rollover deposits on an annual basis. However, in December 2025, the amount was extended first for one month and then for two months till April 17.For the current fiscal year, Pakistan needs a rollover of about $12 billion in external deposits, which includes $5 billion from Saudi Arabia, $4 billion from China and $3 billion held by the UAE.Pakistan currently has reserves of more than $21 billion and will be able to repay the UAE, but it may need external financing in the coming months.