Karachi (Commerce Desk) Pakistan has received a $2 billion deposit from Saudi Arabia, which will provide support to the country’s foreign exchange reserves. The State Bank has confirmed that Saudi Arabia has not only provided $2 billion but has also extended the tenure of the existing $5 billion deposit, which will now be maintained for a longer period.
According to sources in the Ministry of Finance, this deposit will no longer be subject to annual renewal but has been extended on a more permanent basis, marking an important development for Pakistan’s financial needs. Officials say that this assistance has come at a time when the country is facing external financial pressures, and the move will strengthen foreign exchange reserves and bring stability to external accounts.
It has further been stated that the government is striving under its economic program to increase reserves to $18 billion to maintain adequate financial space for imports. According to sources, a payment of $3.5 billion to the United Arab Emirates is due this month; however, Saudi support will help mitigate the impact of this payment.
