ISLAMABAD: July 11, 2023: Pakistan has received $ 2 billion from Saudi Arabia as a part of its plan to boost up forex reserves and meet the conditionality of the International Monetary Fund (IMF).
Finance minister, Ishaq Dar, announced receiving of $ 2 billion from Saudi Arabia this morning in his tweet. Mr Dar in his tweet said “ On behalf of prime minister, Shahbaz Sharif, and army chief, Syed Asim Munir, I thank the leadership of Saudi Arabia for trusting Pakistan and depositing $ 2 billion with SBP to help Pakistan build up forex reserves and shore- off ailing economy”.
Pakistan had approached to Saudi Arabia and some other friendly countries for financial help to show to IMF that it would have sufficient funds available to make timely payments of its sovereign obligations. On this assurance , IMF had approved a bailout under its standby arrangement amounting to $ 3 billion a few days ago. IMF bailout is likely to be approved by its board of directors scheduled to meet in Washington on July 12 (tomorrow). This could follow release of the first installment from IMF to Pakistan in a week or so.
Inflows of funds from IMF, Saudi Arabia and some other friendly countries will help it shore off from the current financial crisis and at the same time give a breathing space to its economy to move forward and gain much= needed stability in next couple of years.
Meanwhile , Pakistan is also working on various plans like revival of agriculture sector and boosting up its exports to increase inflows from its traditional sources and gain a momentum for a regular economic growth.