ISLAMABAD: Finance Minister Muhammad Aurangzeb said that Saudi Arabia had rolled over Pakistan’s $3 billion cash deposit. He said it will support the country’s foreign exchange reserves growth and stability.
Speaking to reporters after a meeting of the Senate Standing Committee on Finance, Aurangzeb briefly addressed the matter. “We are all good on that,” he said when asked about the facility, which matured earlier this week. The confirmation ended uncertainty after the Ministry of Finance had not issued an official statement regarding the renewal. The rollover will help Pakistan maintain its existing level of foreign exchange reserves and strengthen external financial stability.
IMF-backed commitments remain in place
Earlier, Saudi Arabia had extended the $3 billion deposit for three months in April. The extension enabled Pakistan to repay a maturing loan owed to the United Arab Emirates.
However, that arrangement expired earlier this week, prompting questions about its future. Meanwhile, Aurangzeb recently visited Saudi Arabia with Federal Minister for Power Sardar Awais Leghari. During the visit, both sides discussed financial cooperation, economic collaboration, and other matters of mutual interest.
Furthermore, the rollover aligns with Pakistan’s commitments under the $7 billion International Monetary Fund programme. Under the agreement, Saudi Arabia, China, and the United Arab Emirates have pledged to maintain combined deposits of $12.5 billion with the State Bank of Pakistan until September 2027.
These financial commitments supported Pakistan’s external financing needs, investor confidence, and maintained economic stability as Pakistan pursues fiscal reforms as per the IMF programme.
