Saudi Arabia extends term of a $3 billion deposit facility for Pakistan

ISLAMABAD:  Saudi Arabia has extended a $3 billion deposit facility for Pakistan for another year, the Saudi Fund for Development (SFD) said on Wednesday, providing a boost to the South Asian nation’s foreign currency reserves.

The SFD, which acts on behalf of the Saudi government, deposited the sum with the State Bank of Pakistan (SBP).

The loan, which was due to mature on 5 December, will help Pakistan maintain its foreign currency reserves and support its economic growth.

The deposit agreement was first signed in 2021 and rolled over in 2022, reflecting the close ties between the two countries, the SBP said in a statement.