KARACHI: Saudi Arabia has extended the term of its $3 billion deposit placed with the State Bank of Pakistan (SBP) for one more year, providing continued support to the country’s foreign exchange reserves.
According to sources, the maturity period of the Saudi deposit was scheduled to expire today; however, the Saudi Fund for Development (SFD) has formally granted an extension.
The amount, held with the State Bank of Pakistan, will remain in place under the renewed arrangement, offering stability to Pakistan’s external account and financial position.
This extension is viewed as a significant boost to market confidence and a positive sign for Pakistan’s economic outlook.
Earlier, State Bank of Pakistan (SBP) reported an increase in the country’s foreign exchange reserves during the week ending on September 5.
According to the central bank, Pakistan’s total foreign reserves rose by $214 million, reaching $19.68 billion. The SBP’s own reserves climbed by $338 million to $14.33 billion, showing positive momentum.
However, commercial banks’ reserves fell by $124 million, bringing their total down to $5.34 billion.
