Pakistan has agreed terms for a one billion dollar loan with two Middle Eastern banks at a six to seven percent interest rate.

This was stated by Finance Minister Muhammad Aurangzeb in an interview with a foreign media in Davos today.

He said Pakistan has now gone forward with two institutions in signing up the term sheet.

The Minister said the loans were short-term or up to one year. He said Pakistan aims to boost its finances after securing a seven billion dollars International Monetary Fund bailout in September last year.

Muhammad Aurangzeb said we have the first formal review of the Extended Fund Facility by the end of the next month. He said Pakistan is in good stead for that review.