PAK-IMF deal: SA deposits $2bn in SBP account


ishaq dar

ISLAMABAD: Finance Minister Ishaq Dar said Tuesday that Saudi Arabia deposited $2 billion in the State Bank of Pakistan’s (SBP) account, paving the way for the cash-strapped nation to get the crucial International Monetary Fund (IMF) loan.

“On Friday, our reserves had closed in at less than $10 billion, standing at roughly $9.67 billion so you can now imagine them close to $11.67 billion,” he said while addressing a press conference.

“You can expect this $2 billion to reflect starting this Friday in the State Bank reserves,” the minister added.

He extended his gratitude towards KSA, particularly King Salman and Crown Prince Muhammad bin Salman on behalf of Prime Minister Shehbaz Sharif and Chief of Army Staff (COAS) General Syed Asim Munir.

“We are grateful to them for having always stood by Pakistan like a true brother,” he said stressing that “as per their announcement, they [KSA] have physically submitted the deposit with the SBP”.

The finance minister also said that he expected “further positive developments” in the coming few days that would help to stabilise the country’s economy.

Saudi Arabia had already pledged the money to Pakistan and waited for the much-awaited IMF deal to be announced before depositing it.

The financial support will shore up the depleting foreign exchange reserves at the central bank, which had dipped to cover barely a month of controlled imports.

The executive board of the IMF will meet on July 12 to review the $3 billion Stand-by Arrangement (SBA) for Pakistan, the staff-level pact for which was finalised last week.

 

 

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