Pakistan Seeks $10 Billion US Exchange Stabilisation Facility.

Pakistan has formally requested a $10 billion Exchange Stabilisation Support Facility from the United States to strengthen foreign exchange stability and send a positive signal to international capital markets, Finance Minister Muhammad Aurangzeb confirmed on Wednesday.

Speaking to Business Recorder, Aurangzeb said negotiations with the US were currently ongoing and that nothing had been finalised yet. He clarified that the proposed facility was not being sought as a conventional loan or credit line.

The finance minister said Pakistan was also discussing its broader financing strategy with US authorities as Islamabad seeks to move away from repeated bilateral debt rollovers and towards market-based financing.

The government expects to receive views or a response from either the US Exim Bank or the US Treasury by the end of September, according to Aurangzeb.

The proposed support facility is aimed at strengthening Pakistan’s foreign exchange position and improving confidence among international investors. A stronger reserve position could also provide greater stability to the rupee and reduce pressure on the country’s external financing requirements.

Aurangzeb said Pakistan was pursuing the initiative as part of its broader strategy to improve financial stability and strengthen its access to international capital markets.

However, the proposed $10 billion facility remains subject to negotiations with US authorities, and there is currently no final agreement on its size, structure or terms.

The request comes as Pakistan continues efforts to transition from short-term and rollover-based financing towards more sustainable market-based sources of external funding.