Pakistan Receives Second $1 Billion Saudi Deposit Tranche, Says SBP
Pakistan’s central bank, State Bank of Pakistan (SBP), has confirmed the receipt of a second $1 billion installment from Saudi Arabia as part of a $3 billion financial support package.
According to the SBP, the latest funds were received on April 20, following an earlier $2 billion tranche that arrived on April 15. With this, the full $3 billion deposit commitment has now been completed.
This inflow is expected to strengthen Pakistan’s foreign exchange reserves, offering some relief as the country continues to manage external financing pressures and economic challenges.
Finance Minister Muhammad Aurangzeb recently stated that Saudi Arabia has also pledged an additional $3 billion in deposits, which are likely to be disbursed in the near future. He further noted that the existing $5 billion Saudi deposit will now remain in Pakistan for three years instead of being renewed annually.
The financial support comes at a crucial time, as Pakistan faces external repayment obligations, including a $3.5 billion payment to the United Arab Emirates. The Saudi deposit is aimed at supporting Pakistan’s balance of payments and maintaining economic stability.
Saudi Arabia has consistently been a key financial partner for Pakistan, providing deposits, oil financing, and other forms of assistance during periods of economic difficulty.
