Saudi Arabia has assured Pakistan of complete financial support to tackle challenges arising from the Middle East conflict.
This timely help comes as Islamabad prepares to repay nearly $5 billion in external debt this month while struggling to stabilize its external accounts amid rising import costs.
Strategic Meeting in Islamabad
Prime Minister Shehbaz Sharif held detailed talks with Saudi Finance Minister Mohammed bin Abdullah Al-Jadaan on Friday.
The meeting was also attended by Deputy Prime Minister Ishaq Dar, Finance Minister Muhammad Aurangzeb, Petroleum Minister Ali Pervaiz Malik, and Chief of Defence Forces Field Marshal Syed Asim Munir.
No new specific financial proposals were finalized during the session.
However, Pakistani officials had already discussed key requests with their Saudi counterparts two days earlier.
Pakistan is seeking at least a $5 billion fresh loan and an extension of the $1.2 billion annual oil financing facility for another five years.
The existing $5 billion Saudi cash deposit is also under review, with Islamabad hoping to double it to maintain comfortable foreign exchange reserves.
Longstanding Fraternal Bonds
The Saudi minister reaffirmed the kingdom’s full trust in Pakistan’s mediation role between the US and Iran.
Prime Minister Shehbaz Sharif conveyed warm regards to King Salman and Crown Prince Mohammed bin Salman.
He highlighted the kingdom’s consistent economic and financial assistance that has played a vital role in Pakistan’s stability over the years.
The premier stressed that the people and government of Pakistan have always stood shoulder to shoulder with Saudi brothers and sisters.
Both sides expressed commitment to further expand cooperation in trade, investment, and economic development.
This assurance provides immediate relief as Pakistan repays $4.8 billion this month, including $3.5 billion to the UAE.
Without fresh inflows, reserves could drop sharply to around $11.5 billion.
The development also coincides with domestic relief measures, including voluntary surrender of windfall gains by local oil refineries passed on to consumers.