Islamabad has formally requested a substantial $10 billion financial package from the United States, known as an Exchange Stabilisation Support Facility. This demand comes at a critical juncture as Pakistan actively mediates between Washington and Tehran, aiming to resolve the ongoing conflict in West Asia.
Diplomatic Overtures and Financial Requests
The request, reportedly made by Pakistan's Finance Minister Muhammad Aurangzeb to US Treasury Secretary Scott Bessent, aims to bolster the nation's economy amidst persistent challenges. While the Pakistani embassy in Washington confirmed the request for support, it did not specify the $10 billion figure reported by local media.
This financial overture is strategically timed with Pakistan's renewed push for diplomacy. Islamabad has restarted talks to revive an earlier interim deal between the US and Iran, which collapsed after reported strikes by Tehran in the Strait of Hormuz. Iran's Interior Minister, Eskandar Momeni, recently visited Pakistan to engage with top leadership, signaling a serious commitment to de-escalation efforts.
Economic Stability and US Engagement
The proposed Exchange Stabilisation Support Facility, typically managed through the US Treasury's Exchange Stabilisation Fund, can encompass various financial tools such as currency swaps, guarantees, and loans. Finance Minister Aurangzeb also sought US backing for Pakistan's "road-to-market" strategy, which aims to restore independent access to international capital markets, rebuild foreign exchange reserves, and improve the country's sovereign credit ratings.
Diplomatic sources in Washington suggest a high probability of the stabilisation request being approved. The current US administration reportedly maintains a strong interest in engaging with Pakistan and has previously pledged support for its economic recovery.
Progress and Persistent Challenges
US Treasury Secretary Scott Bessent confirmed his meeting with Minister Aurangzeb, acknowledging Pakistan's strides in restoring macroeconomic stability and advancing key economic reforms. In a public statement, Bessent emphasized the importance of sustaining this reform momentum to foster durable growth, strengthen economic self-reliance, and facilitate Pakistan's successful return to international capital markets.
Despite recent signs of stabilization, Pakistan continues to grapple with significant economic hurdles. The country narrowly averted a default in 2023, securing a $3 billion IMF program. It is currently implementing reforms under a larger $7 billion IMF package approved in 2024. Pakistan's real GDP growth was estimated at 3.6% to 3.7% in the 2026 fiscal year, with projections for 4.5% growth in FY2027.