Pakistan is seeking greater US financing for three strategically important areas of its economy, including new aircraft for Pakistan International Airlines (PIA), oil refinery upgrades and the multibillion-dollar Reko Diq copper-gold project.
Finance Minister Muhammad Aurangzeb discussed potential financing with US Export-Import Bank Chairman John Jovanovich during a meeting in New York.
The discussions are particularly significant for PIA, which is considering Boeing 787 Dreamliners as part of its longer-term fleet modernisation plans.
Pakistan also wants support for aircraft engines, pre-delivery payments and spare parts needed to bring grounded Boeing 777 aircraft back into service.
At the same time, refinery modernisation was identified as another potential area for US EXIM financing.
For Reko Diq, the discussions build on an existing US commitment: EXIM has already authorised approximately $1.25 billion in project financing for development of the copper-gold mine.
What Pakistan Discussed With US EXIM Bank
The meeting covered three major areas:
- Financing for PIA aircraft and engines
- Potential financing for refinery upgrades
- Continued US EXIM involvement in Reko Diq
Pakistan and the US lender agreed to continue developing a broader cooperation framework while prioritising specific transactions.
One of those potential transactions involves financing pre-delivery payments for aircraft.
This is important because airlines normally make substantial payments to manufacturers before taking delivery of new aircraft.
Export-credit financing can help reduce the immediate capital burden associated with major fleet purchases.
PIA Is Interested in Boeing 787 Dreamliners
One of the clearest outcomes of the discussions is PIA’s interest in the Boeing 787 Dreamliner.
Finance Minister Muhammad Aurangzeb told the US EXIM Bank that the national airline is interested in acquiring Boeing aircraft, particularly the 787.
Pakistan is seeking a financing package that could cover both:
Aircraft
and
Engines
The talks do not mean PIA has placed a confirmed Boeing 787 order.
The discussions remain part of the airline’s fleet-modernisation process, and financing, commercial terms, delivery schedules and other arrangements would still need to be finalised.
Boeing Is Preparing a Revised Proposal for PIA
The EXIM meeting follows separate talks between Aurangzeb and Boeing Global President Dr Brendan Nelson.
During those discussions, Boeing confirmed that it would provide PIA with a revised proposal for the acquisition of new aircraft.
The two sides are also exploring options for:
- Earlier aircraft delivery slots
- Interim aircraft leasing
- Engine procurement
- Spare parts
- Maintenance support
- Restoration of grounded aircraft
This indicates that Pakistan is considering both short-term and long-term approaches to increasing PIA’s operational fleet.
Leasing could provide additional aircraft sooner, while new aircraft purchases would form part of a longer-term fleet strategy.
Why the Boeing 787 Could Matter for PIA
The Boeing 787 Dreamliner is a wide-body aircraft designed primarily for medium- and long-haul routes.
Modern aircraft such as the 787 can offer advantages including improved fuel efficiency, longer range and lower operating costs compared with some older-generation wide-body aircraft.
For PIA, such aircraft could potentially support international routes to Europe, North America and other long-distance destinations.
However, aircraft economics depend on much more than the aircraft model itself.
Route demand, financing costs, fleet utilisation, maintenance arrangements, crew requirements and passenger yields all influence whether an aircraft acquisition is commercially successful.
Pakistan Also Wants Spare Parts for Grounded Boeing 777s
Buying new aircraft is only one part of PIA’s fleet challenge.
Aurangzeb also raised the need for spare parts to return grounded Boeing 777 aircraft to service.
Bringing an existing aircraft back into operation can sometimes provide additional capacity more quickly than waiting for delivery of newly manufactured aircraft.
PIA already has extensive operational experience with the Boeing 777 family.
Restoring grounded aircraft could therefore complement the airline’s plans to lease and eventually purchase additional aircraft.
Aircraft Pre-Delivery Payments Could Receive Financing
Another important part of the discussions concerns pre-delivery payments, commonly known as PDPs.
Airlines generally do not pay the entire purchase price of a new aircraft when it arrives.
Instead, payments are made in stages before delivery.
For a large aircraft order, these payments can require substantial capital years before the airline begins earning revenue from the aircraft.
Pakistan and US EXIM are therefore exploring whether financing could support these payments.
If eventually agreed, such financing could make it easier for PIA to proceed with a major fleet acquisition without funding all pre-delivery obligations directly from its own cash resources.
What Is the US Export-Import Bank?
The Export-Import Bank of the United States is the United States’ official export credit agency.
Its role is different from that of a conventional commercial bank.
US EXIM supports the export of American goods and services by providing tools such as:
- Export credit insurance
- Loan guarantees
- Direct loans
- Structured financing
- Project financing
In practical terms, EXIM financing can help overseas buyers purchase US-made equipment and services.
That makes PIA’s potential purchase of Boeing aircraft particularly relevant because Boeing is a major US exporter.
Refinery Upgrades Could Also Receive US Financing
Aircraft were not the only subject discussed.
Pakistan also identified oil refinery modernisation as another potential area for US EXIM Bank support.
Pakistan’s refinery sector requires substantial investment to modernise existing facilities.
Older refinery configurations can produce a different mix of petroleum products from what a modern market requires and can face difficulties meeting increasingly stringent fuel specifications.
Modernisation can involve new processing units, equipment upgrades and technologies designed to increase efficiency and produce cleaner fuels.
Pakistan’s Refinery Upgrade Programme Could Require Billions of Dollars
Pakistan has been trying to unlock major investment in its domestic refining industry.
The government estimates that modernising the country’s existing refineries could attract around $6 billion in investment over approximately five years.
The objective is not simply to increase refining capacity.
Upgrades can also help refineries improve product quality and reduce the country’s reliance on imported finished petroleum products.
Securing international financing is therefore a major part of making these projects commercially feasible.
US Companies Could Play a Role in Refinery Modernisation
The latest EXIM discussion also follows Pakistan’s engagement with American technology companies.
In July 2026, Finance Minister Muhammad Aurangzeb met a Honeywell Technologies delegation in Washington.
That meeting focused on potential refinery modernisation and expansion in Pakistan.
The Finance Ministry said potential financing sources discussed included:
- US EXIM Bank
- US International Development Finance Corporation
- Export credit agencies
- International commercial banks
This provides broader context for the latest talks.
Pakistan is trying to connect refinery investment with international technology suppliers and financing institutions rather than relying exclusively on domestic funding.
Reko Diq Is Different: $1.25 Billion Has Already Been Authorised
The status of Reko Diq should be distinguished from the PIA and refinery discussions.
US EXIM has already authorised $1.25 billion in project financing for the Reko Diq Mining Company.
Official US EXIM transaction records list:
Country: Pakistan
Sector: Mining
Financed amount: $1.25 billion
Status: Authorised
The financing supports US goods and services used in developing the copper-gold mining operation.
US suppliers identified in official EXIM documentation include companies such as Fluor Corporation, Caterpillar, Komatsu America, Wabtec and First Solar.
Why Reko Diq Matters to Pakistan
Reko Diq is one of Pakistan’s most important planned mining developments.
Located in Balochistan, the project contains major copper and gold resources and requires large-scale infrastructure and capital investment before commercial production can begin.
The government sees the mine as a potential source of:
- Export earnings
- Foreign direct investment
- Government revenue
- Employment
- Mining-sector development
- Foreign-exchange inflows
During his meeting with the EXIM chairman, Aurangzeb emphasised the project’s importance to Pakistan’s future exports.
He also highlighted the economic cost associated with project delays.
Reko Diq Could Deepen Pakistan-US Commercial Ties
US financing for Reko Diq is also notable because it connects Pakistan’s mining sector with American equipment, engineering and technology suppliers.
This creates a commercial dimension to Pakistan-US relations beyond traditional diplomatic and security ties.
Critical minerals have become increasingly important globally because copper and other materials are essential for:
- Electricity grids
- Renewable energy
- Electric vehicles
- Data centres
- Electronics
- Industrial infrastructure
Large mineral projects therefore increasingly have strategic as well as purely commercial importance.
Three Projects, Three Different Financing Situations
It is important not to treat all three projects as though financing has already been approved.
Their current status can be summarised as follows:
| Area | Current Status |
|---|---|
| PIA Boeing aircraft | Pakistan seeking/exploring US EXIM financing |
| Aircraft engines and PDPs | Potential financing under discussion |
| Boeing 777 spare parts | Support raised during discussions |
| Refinery upgrades | Identified as potential US EXIM financing area |
| Reko Diq | $1.25 billion US EXIM financing already authorised |
This distinction matters because discussions about financing do not guarantee that a loan or guarantee will ultimately be approved.
Why Export-Credit Financing Could Matter for Pakistan
Aircraft, refineries and mines have something important in common: they are extremely capital-intensive.
A new wide-body aircraft can require substantial upfront financing.
Refinery upgrades can cost billions of dollars.
Large mining projects require enormous spending years before they begin generating significant revenue.
Export-credit agencies can help structure financing for such projects, particularly when equipment and services are being purchased from companies based in the agency’s home country.
For Pakistan, access to this type of financing could reduce some of the immediate funding pressure associated with major infrastructure and industrial projects.
But Financing Still Has to Be Repaid
International financing can help projects move forward, but it is not free money.
Loans and guarantees ultimately create financial obligations.
The economic case therefore depends on whether the financed asset generates sufficient value to justify its cost.
For PIA, that means aircraft need to operate profitably.
For refineries, modernisation needs to improve competitiveness and reduce inefficiencies.
For Reko Diq, mineral production and exports need to support the enormous capital invested in developing the mine.
Financing terms — including interest rates, repayment periods, guarantees and risk allocation — can therefore be as important as the headline financing amount.
PIA Modernisation Comes at an Important Time
Pakistan’s latest financing discussions also coincide with efforts to reshape PIA.
The airline is pursuing fleet expansion and modernisation while Pakistan works on broader reforms involving the national carrier and aviation sector.
PIA has recently been seeking additional aircraft capacity, including leased aircraft, as international operations expand.
New aircraft could eventually provide a longer-term replacement for ageing fleet capacity.
But a final acquisition would depend on several steps, including Boeing’s revised commercial proposal and the availability of suitable financing.
What Happens Next?
The most important development to watch will be whether the discussions produce specific financing agreements.
For PIA, the next steps could include:
- Boeing submitting its revised aircraft proposal
- Selection of aircraft and engine configurations
- Negotiations over purchase price
- Securing delivery slots
- Arranging pre-delivery financing
- Finalising export-credit support
- Determining interim leasing requirements
For refinery projects, individual investment plans and financing structures would need to be developed.
Reko Diq is further ahead because US EXIM financing has already received authorisation.
Pakistan Is Seeking Investment in Export-Oriented Sectors
Taken together, the meetings show Pakistan attempting to attract international capital into sectors capable of improving productivity or generating foreign-exchange earnings.
Aviation can improve international connectivity.
Modern refineries could reduce dependence on imported finished fuels.
Reko Diq could become a major source of mineral exports.
The challenge will be turning financing discussions into commercially viable projects without creating unsustainable financial obligations.
For now, the most significant development is that Pakistan and US EXIM have agreed to continue working on a broader cooperation framework while prioritising specific transactions.
Whether that ultimately leads to US-backed financing for Boeing 787s and Pakistani refinery upgrades will depend on the detailed negotiations that follow.