Financial aid affirms Saudi's close ties with Pakistan: Pak envoy

Riyadh: Saudi Arabia's support package of 4.2 billion dollars for Pakistan affirms the close relations between the two countries, Pakistan's Ambassador to Saudi, Bilal Akbar, said on Thursday, Arab News reported.

Saudi had pledged assistance to Pakistan as the Saudi Fund for Development (SFD) announced on Wednesday a direct deposit of 3 billion dollars into the State Bank of Pakistan to help the latter support its foreign currency reserves and face the impact of the Covid-19 Pandemic.

Saudi also issued another royal directive for Pakistan to finance oil derivatives trade with 1.2 billion dollars during this year.

Pakistan currency market bounced back, gaining 1 rupee against US dollars on Wednesday, in intra-trading after Saudi's aFinancial aid affirms Saudi's close ties with Pakistan: Pak envoynouncement.

The "historic, strategic and fraternal" Pakistan-Saudi relations are 75 years old now. It is based on common religion and excellent people to people relations, Bilal Akbar told Arab News. Pakistan looks forward to continuing their close cooperation with Saudi and mutual support, he added.

The SFD also said that the royal directives confirm Saudi's continued support for Pakistan's economy.

The kingdom announced the aid after Pakistan PM Imran Khan attended the Middle East Green initiative, the climate change conference held in Riyadh on Monday. Imran Khan thanked Saudi crown prince Mohammed bin Salman for the support package.

In 2018 Saudi had extended Pakistan 3 billion dollars for foreign currency support and loans worth 3 billion dollars in deferred payments for oil imports.