State Bank governor says the extension will help ease external account pressures and support Pakistan’s financial stability during the current fiscal year.
Image: TaxToday Pakistan
Saudi Arabia has extended the tenure of its $5 billion deposits with Pakistan for another three years, providing relief to Islamabad as it manages external financing challenges.
State Bank of Pakistan (SBP) Governor Jameel Ahmad said the rollover would help reduce pressure on the country’s external account and strengthen foreign exchange reserves during the current fiscal year.
The deposits, placed with the SBP, are part of Saudi Arabia’s continued financial support for Pakistan and play a key role in helping the country meet international payment obligations and maintain economic stability.
Officials welcomed the decision, describing it as a reflection of the strong economic partnership between Pakistan and Saudi Arabia. The move is expected to provide greater confidence to financial markets and support ongoing efforts to improve Pakistan’s balance of payments position.
The extension comes as Pakistan continues to seek support from friendly countries and international partners while pursuing broader economic reforms and stabilization measures.
