Saudi Arabia has once again stepped in to support Pakistan, which is facing significant economic challenges. The kingdom has extended the maturity of its $3 billion deposit with the State Bank of Pakistan (SBP) by one year. This move provides a boost to the country’s foreign exchange reserves amid ongoing liquidity pressures.
According to the Express Tribune, Saudi Arabia’s decision will strengthen Pakistan’s foreign currency reserves and give momentum to its economic growth. The State Bank of Pakistan expressed hope that this support would help stabilize the nation’s economy.
Support to be extended till next year
The support has been provided through the Saudi Fund for Development (SFD), a facility that has been in place since 2021 to assist Pakistan in maintaining macroeconomic stability. The deposit, originally set to mature on December 8, 2025, will now remain with the SBP until December 2026.
The SBP stated that Saudi Arabia’s decision will reinforce the country’s foreign exchange reserves and contribute to economic growth and development. Pakistani officials believe that this extension will help Pakistan meet important targets set by the International Monetary Fund (IMF).
Saudi Arabia’s deposit provides relief to Pakistan
As of November 30, 2025, Pakistan’s total foreign exchange reserves stood at $19.59 billion, with $14.57 billion held by the central bank and $5.01 billion with commercial banks. The SBP reserves have seen a slight increase recently.
Experts say that in the current scenario, Saudi Arabia’s extension of the deposit provides significant financial relief to Pakistan. It offers the country additional time for implementing financial reforms, managing debts, and restructuring IMF loans, making it a major support for Pakistan’s economy.
