Saudi Arabia to double its oil supply on credit: FM Dar

December 14, 2022 (MLN): Saudi Arabia may increase the amount of oil supply to Pakistan on deferred payments to $2.4 billion a year, Finance Minister Ishaq Dar said to during an interview with a news channel.

Saudi Arabia will likely to double its deposits in Pakistan to increase foreign exchange reserves, he added.

Further he said, "China has committed to rollover it’s all deposits closer to their refund dates."

Pakistan's total payments in FY23 stood around $21bn, and the government has already outlined its plan for paying off its debts, he underlined.

At the end of this fiscal year, the current account deficit is expected to decline from $7bn to $8bn, compared with projections of $11bn.

Earlier this month, Saudi Arabia has extended term for $3 billion deposit to the State Bank of Pakistan (SBP) through Saudi Fund for Development (SFD).

On the International Monetary Fund (IMF) front, the discussions between the IMF and the government to date in the context of the 9th review of Pakistan's Extended Arrangement under the Extended Fund Facility (EFF) have been productive.

Discussions have enabled a revision to the macroeconomic outlook post floods as well as an in-depth evaluation of fiscal, monetary, exchange rate, and energy policies adopted since the completion of the combined seventh and eighth reviews, Esther Pérez Ruiz, IMF Resident Representative in Pakistan said in a statement issued on Tuesday.

Copyright Mettis Link News