ISLAMABAD – On Tuesday, the Saudi Fund for Development announced a “generous instruction” to deposit US $3 billion with the State Bank of Pakistan to help the government maintain its foreign currency reserves and deal with the effects of the Corona outbreak.
The deposit of US 3 billion dollars was made in addition to an oil deferred payment facility of US 1.2 billion dollars for petroleum products, according to the Saudi Press Agency – SPA.
Due to the recent steep increase in global commodity prices, the statement will assist to relieve strain on Pakistan’s foreign exchange reserves.
The momentous development was reported on Twitter by Information Minister Ch. Fawad Hussain, a day after Prime Minister Imran Khan returned from a three-day visit to the Kingdom to attend the Saudi Crown Prince’s Middle East Green Initiative.
“In breaking news, Saudi Arabia has announced that it will help Pakistan with a 3 billion dollar deposit in the central bank of Pakistan, as well as financing refined petroleum products with 1.2 billion dollars this year.”
The Saudi Development Fund has generously announced for Pakistan an oil delayed payments facility of $1.2 billion per year and a $3 billion deposit with SBP, according to Minister of Energy Hammad Azhar, who accompanied the Prime Minister on his visit to Saudi Arabia.