Saudi Arabia deposits $3b in SBP reserves 

Jeddah: Saudi Arabia's Fund for Development has announced to deposit three billion dollars with State Bank of Pakistan (SBP) to help the government support its foreign currency reserves and face the repercussions of COVID-19 pandemic.

According to the Saudi Press Agency, this deposit is in addition to an oil deferred payment facility of 1.2 billion dollars for petroleum products during the year. 

The announcement came a day after Prime Minister Imran Khan returned from his three-day trip to the Kingdom. 

Earlier, Pakistan had requested the Kingdom to provide oil on deferred payments for two years and the cash deposits for three years. 

Meanwhile, Minister for Energy Hammad Azhar, in a tweet, said the deposit of three billion dollars by Saudi Development Fund with the State Bank and the oil deferred payment facility of 1.2 billion dollars per annum will ease pressures on our trade and forex accounts as a result of global commodities price surge.

The Saudi Development Fund has generously announced for Pakistan an oil deferred payments facility of $1.2bn/annum and a $3 bn deposit with SBP. This will help ease pressures on our trade & forex accounts as a result of global commodities price surge.

— Hammad Azhar (@Hammad_Azhar) October 26, 2021

Finance Adviser Shaukat Tarin also turned to twitter and wrote, “Yesterday evening the Finance Minister of Saudi Arabia informed me of the generous gesture of the Kingdom of Saudi Arabia to place US$3bn with SBP & a $1.2bn deferred oil facility to help the balance of payment of Pakistan.We thank the Crown Prince & the KSA for this kind gesture”.

Yesterday evening the Finance Minister of Saudi Arabia informed me of the generous gesture of the Kingdom of Saudi Arabia to place US$3bn with SBP & a $1.2bn deferred oil facility to help the balance of payment of Pakistan.We thank the Crown Prince & the KSA for this kind gesture

— Shaukat Tarin (@shaukat_tarin) October 27, 2021