Saudi Arabia has once again decided to bailout Pakistan from defaulting and hitting a very mega embarrassing international crises.
The SaudiCrown Prince Mohammed bin Salman has directed his authorities to consider increasing the cash deposit with the State Bank of Pakistan (SBP) as well as investment in the country.
The crown prince like his predecessors has responded with great magnanimity and instructed the Saudi Development Fund (SDF) to increasing the amount of the deposit provided by the kingdom in favour of the Pakistani central bank, which had previously been extended on December 2, 2022 to hit a $5 billion ceiling.
“Prince Mohammed bin Salman bin Abdulaziz Al Saud, Crown Prince and Prime Minister, has directed to study augmenting the Kingdom of Saudi Arabia’s investments in the sisterly Islamic Republic of Pakistan, which have previously been announced on August 25, 2022 to reach $10 billion,” states the Saudi Press Agency (SPA) in a news report – generosity was expressed by the prince as a consequence of request by Muhammad Shehbaz Sharif.
The cash injection by the Saudi’s into to Pakistani economy will help the country negotiate a better deal with IMF.
The visit of the army chief Gen AsimMunir too contributed in convincing the Saudis to bailout Pakistan from the economic quagmire.
Pakistan is also seeking financial aid from the UAE’s to escape the looming default crisis. Islamabad has to repay $2 billion to the UAE in the coming weeks but the government is hoping the Gulf state would roll over the debt.
