Exchange Stabilisation Fund
Coverage of Exchange Stabilisation Fund in the Nexus archive.
- Situationer: How the US stabilisation fund could help Pakistan
Pakistan has requested a $10 billion Exchange Stabilisation Support Facility from the US Treasury to address external financing pressures, including foreign exchange reserves and debt obligations. The US Treasury’s Exchange Stabilisation Fund has historically supported economies like Mexico and Argentina. An IMF economist noted the facility could provide liquidity but emphasized the need for structural reforms.
- Here come the dollars
Pakistan's government is seeking a $10 billion swap line from the US Exchange Stabilisation Fund and has engaged in financial transactions with the UAE and Saudi Arabia to inject dollars into the economy. The country secured a credit rating upgrade from Standard & Poor’s and is negotiating a $6.7 billion oil facility with Saudi Arabia.
- Aurangzeb seeks $10bn support facility from US
Finance Minister Muhammad Aurangzeb requested a $10 billion Exchange Stabilisation Support Facility from US Treasury Secretary Scott Bessent to strengthen Pakistan's economy. The US Treasury declined to comment, but diplomatic sources suggested the Trump administration may support the request to bolster economic engagement.