Pak-Saudi Arabia ink deal for oil on deferred payments
The $4.5 billion agreement was signed for three years
ISLAMABAD (Dunya News) – Pakistan and Saudi Arabia on Monday signed an agreement to resume oil supply on deferred payment.
The $4.5 billion agreement was signed between Pakistan and International Islamic Trade Finance Corporation for three years after which the longstanding ally will resume oil supply to Pakistan on deferred payment.
Federal Minister for Economic Affairs Omar Ayub and CEO International Islamic Trade Finance Corporation attended the signing ceremony.
In 2018, Saudi Arabia agreed to give Pakistan $3 billion in foreign currency support for a year and a further loan worth up to $3 billion in deferred payments for oil imports to help stave off a current account crisis.
The two friendly countries had signed agreements on the sidelines of the second edition of the annual Future Investment Initiative (FII) Conference in Riyadh. Following the agreement, Saudi Arabia deposited $3 billion in the State Bank of Pakistan to ease pressure on foreign exchange.
