Saudi Arabia confirms rollover of $3bn deposit for one year: SBP

ISLAMABAD: The Saudi Fund for Development has confirmed it will extend for one-year a $3 billion deposit currently placed in the SBP accounts since 2021, ARY News reported on Sunday quoting the State Bank of Pakistan.

The deposit was to mature on Dec. 5, but that has now been extended to next year, the State Bank of Pakistan said on Twitter.

The central bank also mentioned that the deposit is placed with SBP and is part of its forex reserves.

Saudi Fund for Development (SFD) has confirmed rollover of $3bn deposit maturing on 5Dec22 for one year. Deposit is placed with SBP and is part of its forex reserves. This reflects continuing strong and special relationship between KSA and Pakistan. Old PR https://t.co/YvQ9VXPq0x

— SBP (@StateBank_Pak) September 18, 2022

It is pertinent to mention here that the deposit agreement between Saudi Arabia and Pakistan was signed in November, last year. Under this deposit agreement, the Saudi Fund for Development (SFD) placed a deposit of $3 billion with SBP.

Last month, Saudi Arabia announced to invest $1 billion in Pakistan to support the country’s economy, the official Saudi Press Agency (SPA) reported.

Saudi state TV added that Saudi King Salman bin Abdulaziz Al Saud had issued directives to invest $1 billion in Pakistan.

QATAR AGREES TO US$3 BILLION INVESTMENTS IN PAKISTAN: SOURCES 

The development comes during a telephonic phone call between Saudi FM Prince Faisal bin Farhan bin Abdullah and Foreign Minister Bilawal Bhutto Zardari, where he informed the latter of the King’s directive.

While recalling fraternal bilateral ties between the two countries, FM Bilawal welcomed Saudi Arabia’s commitment of $1 billion investment in Pakistan.