Saudi Arabia Extends $3 Billion Deposits Tenure, Says SBP
ISLAMABAD: Saudi Arabia has extended the tenure of its $3 billion deposits with the State Bank of Pakistan.
According to SBP, Saudi Arabia has given this financial relief to Pakistan on the orders of the Custodian of the Two Holy Mosques _ King Salman bin Abdulaziz Al Saud.
In a statement issued on Friday SBP said, “Implementation the directives of the Custodian of the Two Holy Mosques, the Saudi Fund for Development (SFD) has extended the term for the deposit of $3 billion provided by the KSA to the State Bank of Pakistan.”
The extension of the term of the deposit is a continuation of the support provided by the government of the Kingdom of Saudi Arabia to the Islamic Republic of Pakistan, SBP said, adding the deposit aimed to shore up the foreign currency reserves in the central bank and help Pakistan in facing the economic repercussions of the COVID-19 pandemic.
Furthermore, Saudi facility has contributed to meeting external sector challenges and achieve sustainable economic growth for the country.
It is worth noting that the $3 billion-deposit agreement was signed through the Saudi Fund for Development (SFD) with the State Bank of Pakistan in November of the last year 2021.
The financial facility was approved after the issuance of the royal directives that reflect the continuation of the close relationship between the two countries.