SBP gets $3 billion from Saudi Arabia

Karachi: The State Bank of Pakistan (SBP) received on Saturday $3 billion from Saudi Arabia under a support package signed between Pakistan and the kingdom.

Adviser to the Prime Minister on Finance Shaukat Tarin confirmed the kingdom has deposited the loan amount with the country’s central bank.

“Good news, US$3 billion Saudi deposit received by SBP,” he tweeted, thanking Saudi Crown Prince Mohammed Bin Salman and the kingdom for the “kind gesture”.

The SBP earlier this week signed an agreement with the Saudi Fund for Development (SFD) to receive $3 billion to shore up its depleting foreign exchange reserves.

“Under this deposit agreement, SFD shall place a deposit of USD 3 billion with SBP. The deposit amount under the agreement shall become part of SBP’s Foreign Exchange Reserves,” the central bank had said on Monday.

The Saudi support package also includes a $1.2 billion oil loan facility. It was agreed during Prime Minister Imran Khan’s visit to the Kingdom of Saudi Arabia last month.