Islamabad (HRNW) Saudi Arabia has agreed to renew a $3bn loan deposited with the State Bank of Pakistan, in an effort to help Pakistan bolster its depleting foreign reserves, Bloomberg and Financial Times reported on Monday.
The Saudi finance ministry will also provide $100 million a month for 10 months in petroleum products that will be granted as additional support, the two publications said citing people familiar with the development.
“The Saudi Finance Ministry plans to renew its $3 billion deposit with State Bank of Pakistan as soon as this week,” said Bloomberg.
The reports of loan refinancing coincide with a telephone conversation between Saudi Crown Prince Mohammad Bin Salman and Prime Minister Shehbaz Sharif.
Saudi Press Agency reported on Monday that Bin Salman received a phone call from Sharif on Sunday and during the call “they reviewed the brotherly and historical relations between the Kingdom and Pakistan, in addition to discussing opportunities for cooperation between the two countries and ways to enhance them in various fields.”