Saudi Arabia mulls boosting investments in Pakistan to $10 billion

ISLAMABAD – Saudi Arabia weighs augmenting investment programs in Pakistan as the flood-hit nation is facing the worst economic crisis in recent years, Saudi Press Agency reported.

The report said Crown Prince Mohammed bin Salman has directed authorities to study augmenting the Kingdom’s investments in South Asian nation to $10 billion.

SPA said the Saudi de facto ruler has directed Saudi Development Fund to study increasing the amount of the deposit provided by Riyadh in favor of Pakistan’s central bank which was earlier extended on December 2, 2022, to hit $5 billion.

The Crown Prince made directives to affirm the Kingdom’s position in supporting the economy of Pakistan and its people, SPA further said, and added that the framework of the existing communication between the Crown Prince and Pakistani premier Shehbaz Sharif.

Last year, Saudi Development Fund extended its term for the $3 billion deposit in State Bank, which was set to mature on December 5. Pakistan also inked an agreement with SFD in 2022 to receive $3 billion, to be deposited in SBP’s account to maintain foreign exchange reserves amid the economic crunch.

Saudi hinted at boosting financial investment, a day after the visit of Pakistan Army Chief General Syed Asim Munir to Saudi Arabia.