Pakistan has requested Saudi Arabia to place a $5 billion deposit in the State Bank of Pakistan for a period of 10 years to help strengthen the country’s foreign exchange reserves. The request is part of Pakistan’s broader efforts to stabilize its economy and improve financial resilience during a challenging economic period.
In addition to the deposit, Islamabad has also asked Saudi Arabia for a $5 billion oil facility. Under this arrangement, Pakistan would be able to purchase petroleum products from Saudi Arabia on deferred payment terms, allowing the country to manage its energy imports without putting immediate pressure on its foreign currency reserves.
Officials believe that such financial support would provide significant relief to Pakistan’s economy. Stronger foreign reserves can help improve investor confidence, stabilize the national currency, and support ongoing economic reforms.
Saudi Defense Minister Khalid bin Salman Meets Pakistan Army Chief Asim Munir
The proposed oil facility is also considered important for ensuring a steady supply of energy. Pakistan relies heavily on imported fuel, and deferred payment arrangements can reduce the immediate financial burden on the country.
Saudi Arabia has historically been one of Pakistan’s closest economic partners and has provided financial assistance in the past, including deposits in the central bank and oil facilities on deferred payments.
If approved, the new support package would further strengthen economic cooperation between Pakistan and Saudi Arabia, while helping Pakistan maintain financial stability and manage its energy needs more effectively.
