Cash-strapped Pakistan will soon get a $ 3 billion loan from Saudi Arabia, as the government headed by Prime Minister Imran Khan approved a deal to keep the amount at the country’s central bank, the government said. Saturday the media.
The Saudi government had promised to maintain a $ 3 billion reserve at the State Bank of Pakistan, Geo News reported.
According to the agreement, the aid will remain in the SBP deposit account for one year.
“The SBP has finalized all the arrangements and now everything is in place and the agreed deposit amount will be received in the next few days,” official sources told The News.
The Federal Cabinet has approved the deal to keep Saudi Arabia’s $ 3 billion aid in the SBP, according to reports citing an official document.
The Cabinet approved the withholding by the State Bank of $ 3 billion from the Saudi Development Fund.
Pakistan’s total liquid foreign exchange reserves, according to the central bank, stood at $ 22.773 billion as of November 19, according to Geo News.
The figures show that the SBP held $ 16.254 billion in foreign exchange reserves, while commercial banks retained $ 6.519 billion in net foreign exchange reserves.
The SBP’s reserves declined from $ 691 million to $ 16.254 billion in the week ended November 19, mainly due to external debt repayments.
Sources say Saudi Arabia has agreed to provide $ 1.2 billion for the supply of refined petroleum lubricants (POL), with the Economic Affairs Division (EAD) negotiating on behalf of the Pakistani government.
Responding to questions, Muzammil Aslam, spokesperson for the prime minister’s financial adviser, said Pakistan expected to receive $ 7 billion from just three sources over the next 60 days.
These include $ 3 billion in deposits from Saudi Arabia, a $ 1.2 billion Saudi oil facility with deferred payments, an $ 800 million oil facility from the Islamic Bank. development, $ 1 billion raised through the issuance of Sukuk bonds and $ 1 billion from the IMF. .
All of these inflows of dollars, he said, would be enough to ease the pressure on the country’s existing import bills.