Pakistan has requested a USD 10 billion bilateral exchange stabilisation facility from the US in a move aimed at strengthening its foreign exchange reserves and reducing pressure on the Pakistani rupee, according to a source familiar with the matter.
The proposal, sent to US Treasury Secretary Scott Bessent, seeks financial support for up to five years. If approved, the facility would help Pakistan improve its reserve position, lower its dependence on multilateral lenders and provide greater stability while the country continues economic reforms under its International Monetary Fund (IMF) programme.
The request comes after Pakistan’s diplomatic efforts during the Iran conflict, which raised expectations that Islamabad could deepen economic cooperation with Washington.
Relief beyond IMF assistance
Pakistan is currently implementing reforms under a USD 7 billion IMF programme that requires higher taxes, controlled government spending and structural changes. While these measures have helped stabilise the economy, they have also placed a burden on public finances and households.
The finance ministry has not commented on the report, while the US Treasury declined to respond.
Exchange stabilisation facilities are uncommon financial arrangements that allow the US Treasury to provide dollar support, currency swaps or guarantees to help partner countries maintain stable foreign exchange reserves and reduce currency volatility.
A push for long-term stability
Pakistan narrowly avoided default in 2023 after securing IMF assistance and has since received additional financing for climate resilience. However, the country’s reserves continue to rely heavily on external loans, support from friendly nations such as China and Saudi Arabia and IMF disbursements. Earlier this year, a large debt repayment temporarily reduced reserves before Saudi Arabia extended fresh financial support.
Ratings agency Fitch has said Pakistan’s commitment to IMF reforms has strengthened its funding position, but warned that higher energy prices and global uncertainties could still put pressure on reserves.
In recent months, Pakistan has also expanded economic engagement with the Trump administration through initiatives involving cryptocurrency, mining and real estate, including cooperation linked to the Roosevelt Hotel project in New York and investment in the Reko Diq mining project.
First published on: Jul 22, 2026 06:56 AM IST
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