Pakistan Seeks Extension of $1.2 Billion Saudi Oil Financing Facility
Pakistan has requested an extension of its $1.2 billion Saudi oil financing facility after fully utilizing the support program between May 2025 and April 2026, according to official sources.
The financing arrangement, provided by the Saudi Fund for Development, supplied Pakistan with $100 million per month over a one-year period and helped the country manage its external financing requirements.
Federal Minister for Economic Affairs Ahad Cheema said the final installment under the facility was received in April 2026, completing the full $1.2 billion allocation.
Sources added that the oil financing support came alongside broader financial assistance from Saudi Arabia, which also placed an additional $3 billion with the State Bank of Pakistan in April 2026. This reportedly increased Saudi deposits with Pakistan’s central bank to $8 billion.
The financial inflows contributed to a significant rise in Pakistan’s external financing during April. According to official figures from the Economic Affairs Division, the country secured $4.47 billion during the month through bilateral and multilateral funding, deposits, Eurobond issuance, and commercial loans.
During the first 10 months of the current fiscal year, Pakistan received foreign loans totaling $11.06 billion, compared to $6.08 billion during the same period last year, reflecting increased external financial support.
