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Saudi Arabia extends $3 billion deposit with Pakistan for another year

by Sub News
December 4, 2025
Saudi Arabia extends $3 billion deposit with Pakistan for another year
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Islamabad, December 5, 2025: Saudi Arabia on Thursday extended the $3 billion deposit it placed with the State Bank of Pakistan (SBP) for another year, providing critical financial relief to Islamabad at a time of continued economic strain.

The deposit, made through the Saudi Development Fund (SDF), was originally scheduled to mature today (Thursday). Its extension will help Pakistan maintain stability in its foreign exchange reserves and ease pressure on the country’s balance of payments.

According to official sources, the $3 billion deposit remains a key component of Pakistan’s foreign exchange reserves, supporting overall financial stability and providing much-needed breathing space amid external financing challenges.

Officials said the decision ensures that Pakistan will not face immediate repayment obligations, offering short-term stability and helping sustain ongoing economic activities.

Saudi Arabia first placed the funds with the State Bank in 2021 under a formal agreement aimed at supporting Pakistan’s external sector. The latest rollover by the SDF strengthens Riyadh’s continued financial backing for Pakistan as the country navigates persistent economic headwinds.

Tags: $3 billion depositIslamabadPakistanRiyadhSaudi ArabiaSaudi Development FundSBPSDFshort-term stabilityState BankState Bank of Pakistan
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