Archive · 20 Aug 2026
Pakistan Seeks $10 Billion US Treasury Forex Facility
Pakistan wants help from the US Treasury to protect its foreign-exchange reserves.
It has asked for a facility worth $10 billion.
Pakistan says this would not be a normal loan.
Instead, it could allow Pakistan to exchange currencies with the United States if it faces a shortage of money.
Officials believe this could help support the Pakistani rupee.
They also hope it would improve Pakistan’s credit rating and reduce future borrowing costs.
The US Treasury has not yet confirmed the request.
Pakistan is still following an approximately $7 billion IMF programme that requires economic reforms.
A response from the US is expected by September 2026.
Pakistan has formally requested a $10 billion bilateral exchange-stabilisation facility from the US Treasury.
The proposed facility would provide a currency swap during a liquidity crisis rather than a conventional loan or credit line.
Finance Minister Muhammad Aurangzeb said the arrangement would signal currency and foreign-exchange stability.
Pakistan aims to reduce reliance on short-term bilateral rollovers and multilateral financing while returning to market-based borrowing.
The US Treasury has not confirmed the proposal, and Pakistan expects a response by September 2026.
- Who
- The Government of Pakistan, Finance Minister Muhammad Aurangzeb, and the US Treasury are involved.
- What
- Pakistan has requested a $10 billion Bilateral Exchange Stabilisation Support Facility.
- When
- The request was formally disclosed in an interview published on Thursday; Reuters reported on the letter in late July, and Pakistan expects a response by September 2026.
- Where
- The proposed arrangement would be between Pakistan and the US Treasury.
- Why
- Pakistan wants to strengthen foreign-exchange reserves, support the rupee during a liquidity crisis, and reduce reliance on short-term and multilateral financing.
- Requested amount
- $10 billion
- Proposed mechanism
- A bilateral exchange-stabilisation facility allowing a currency swap during a liquidity crisis
- Proposed maturity
- Up to five years
- Pakistan’s credit-rating goal
- Finance Minister Muhammad Aurangzeb said Pakistan wants to move at least toward a B+ rating.
- Current IMF programme
- Approximately $7 billion
- US position
- The US Treasury has not yet confirmed the proposal.
- Expected response
- Pakistan expects a response by September 2026.