ISLAMABAD; Saudi Arabia has approved a fresh $1 billion oil facility for Pakistan, equivalent to nearly Rs290 billion, as part of its continued financial assistance to Islamabad.
According to official sources, Riyadh has also agreed to extend the rollover of $5 billion in deposits currently placed with the State Bank of Pakistan (SBP) to help stabilise Pakistan’s foreign exchange reserves. Out of these deposits, $2 billion will mature in December 2025, while the remaining $3 billion are scheduled to mature in June 2026.
During the ongoing fiscal year, Pakistan has already received Rs85 billion worth of oil supplies through the existing Saudi oil facility, which amounts to $300 million. Under this arrangement, $100 million worth of oil is provided every month — roughly Rs28.37 billion in local currency.
The Saudi deposits, placed with Pakistan as time deposits for budgetary support, carry an interest rate of 4 per cent and are rolled over annually. Overall, the total Saudi deposits maintained in Pakistan currently amount to about Rs1.45 trillion.
The new assistance is expected to provide significant relief to Pakistan’s external financing needs and help cushion the impact of high global oil prices on its fragile economy.
