ISLAMABAD – Pakistan has received major financial relief as Saudi Arabia and Qatar pledged $5 billion in support. The move comes as the country faces heavy external payment obligations in the coming weeks.
Officials confirmed that Pakistan secures this support at a critical time. The inflows are expected to strengthen foreign exchange reserves. They will also help manage upcoming repayments without immediate stress.
The country is preparing to repay $3.5 billion to the United Arab Emirates. This payment is due by the end of the month. A broader $4.8 billion repayment is also scheduled for April. The new support will help ease this financial burden.
A high-level meeting was held in Islamabad on Friday. Saudi Finance Minister Mohammed bin Abdullah Al-Jadaan met Prime Minister Shehbaz Sharif. Senior officials, including Ishaq Dar and Army Chief Asim Munir, also attended the meeting.
During discussions, economic cooperation and regional issues were reviewed. Although no formal agreements were signed, both sides showed progress in financial understanding. Officials said earlier talks between finance ministries had already set the groundwork.
Through continued diplomatic engagement, Pakistan secures stronger financial assurances from key Gulf partners. These commitments are seen as part of ongoing efforts to stabilize the economy.
Pakistan has also requested additional support measures. These include extending Saudi deposits held with the State Bank of Pakistan. It has also asked for an extension of the oil financing facility, which expires soon.
Officials said these steps are important for maintaining liquidity. They are also needed to manage import costs, especially in the energy sector. Rising global prices continue to put pressure on the economy.
Authorities warned that foreign exchange reserves remain under strain. High import bills and global uncertainty are adding further pressure. Without new inflows, reserves could fall further in the coming months.
However, with fresh commitments, Pakistan secures a buffer against financial risks. The support is expected to help stabilize reserves and improve short-term economic confidence.
The assistance also highlights Pakistan’s continued reliance on Gulf partners during financial stress. Officials believe ongoing cooperation will support stability and ensure timely external payments.
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Pakistan will continue engaging with international partners in upcoming economic discussions. The latest support is seen as an important step toward managing immediate challenges and maintaining financial stability.
