ISLAMABAD — In a major development for Pakistan’s economy, the State Bank of Pakistan (SBP) has officially confirmed the receipt of $2 billion from Saudi Arabia. This significant cash injection comes immediately following Prime Minister Shehbaz Sharif’s high-level meeting with the Saudi leadership in Jeddah. The funds are aimed at stabilizing the national currency and providing a much-needed buffer for the country’s foreign exchange reserves as it faces upcoming external debt repayments.
This inflow is part of a larger $3 billion financial package promised by Riyadh, with the remaining $1 billion expected to arrive within the next week. Finance Ministry sources suggest that this support, coupled with similar expected commitments from Qatar, will help Pakistan meet its immediate $3.5 billion obligation to the UAE. Economic analysts believe that this move, endorsed by positive remarks from IMF Chief Kristalina Georgieva regarding Pakistan’s program execution, will significantly boost investor confidence in the Pakistan Stock Exchange (PSX) and lower the overall economic risk profile.
