1 year deadline for Pakistan to return $3 billion to Saudi Arabia

Pakistan has to return a total of $3 billion to the Islamic state of Saudi Arabia in the tenure of 1 year only.

Saudi Arabia: Pakistan has to return a total of $3 billion to the Islamic state of Saudi Arabia in the tenure of 1 year only. This money was borrowed by the Asian country from Riyadh last year, with the motive to improve diminishing foreign exchange reserves.

Finance Minister of Pakistan, Shaukat Tarin, speaking in front of the Senate, the upper house, asserted that this money was transferred by the Saudi Fund for Development – (SFD) in October 2021 put the amount in the account of the nation’s central bank, the State Bank of Pakistan.

Advertisement

He stated that “The Saudi government has told us that they can ask for their money back if Pakistan defaults at any point. Interest rates are increasing across the globe. The interest rate for Saudi loan being 4 per cent is not something bad”.

The government of Saudi Arabia earlier also provided assistance of USD 3 billion in cash deposits while also extending USD 3 billion oil facilities in 2018, but due to the disputes between both of the countries, Pakistan had to return USD 2 billion.

As part of the agreement, Saudi Arabia restored its financial aid to the Asian nation, including – USD 3 billion in deposits and USD 1.2 billion to USD 1.5 billion worth of oil supplies on deferred payments, which the Pakistan government also pledged to pay back within the deadline of one year.

The current financial state of Pakistan is deteriorating, with having millions of loans on its head, which the Asian country has to return. In short, the economy of Pakistan is facing a three-pronged challenge. It is facing skyrocketing prices of fundamental commodities such as – oil, gas, wheat, and sugar and unusually high shipping charges on its foreign trade; regionally, it is wrestling with the economic and financial fallout of an extremely volatile

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Read More

UAE destroys 2 Houthi ballistic missiles after second attack on Abu Dhabi

According to the UAE’s MOD Joint Operations Command, in the early hours of Monday, an F-16 destroyed and intercepted two Houthi ballistic missiles in...

Al-Hajri reviews Kingdom of Bahrain’s experience with Health Finance Project at ninth Health Conference

Her Excellency Dr Maryam Ibrahim Al-Hajri, Assistant Advocate for Public Health, participated as a speaker at the works of the Ninth Health Conference 2022, which was held during the period from 15-16 November 2022 via video call.

St Kitts and Nevis: PM Terrance Drew extends good wishes to athletes flying for 50th CARIFTA Games

Prime Minister of St Kitts and Nevis – Dr Terrance Drew has extended his best wishes to the athletes travelling to Nassau, Bahamas, to represent the island country at the 50th CARIFTA Games.

Recent

Egypt: Health Minister attends G20 Meeting in India, emphasizes global health security

Ministry of Health and Population of Egypt, Dr Khaled Abdul Ghaffar, has been attending the G20 health ministers meeting in India.

SpiceJet flight to Dubai from Delhi diverted to Pakistan’s Karachi due to technical fault

A SpiceJet aircraft flying from Delhi to Dubai was diverted to Karachi in Pakistan airport as it faced a technical glitch as its indicator light malfunctioned on Tuesday, July 6.

Dubai: Damac properties to accept cryptocurrency payment

Damac Properties, which is a major Dubai-based real estate developer, has disclosed that it would accept payment for properties in cryptocurrency.