ISLAMABAD: Pakistan has received a staggering $8 billion in Saudi Arabia, including double oil office support, extra money on stores or Sukuks, and the current $4.2 billion exchange of offices during Prime Minister Shehbaz's visit.
"No matter what happens, special tactics are being worked on, and it will take a long time to prepare all the records and mark them," high-profile sources known for this development informed The News on Saturday. Top world leader Shehbaz sharif and his entourage have left Saudi Arabia, but Finance Minister Miftah Ismail is still there to finalize the budget hike.
Sharing the highlights of the massive fundraiser, an official said Pakistan had planned to double the oil office from $1.2 billion and that the Saudi Arabian government had acknowledged that. It also agreed that the current $3 billion stores will be converted by June 2023.
"Pakistan and the KSA have pledged more than $2 billion in shops or Sukuk and most of the money will be given to Islamabad," said official sources, adding that the full amount would be resolved if more money was spent. Saudi Arabia had donated $3 billion to the banks of the State Bank of Pakistan in December 2021 while the Saudi oil office was in operation from March 2022 when Pakistan was given $100 million for oil. Saudi Arabia had donated a staggering $7.5 billion during the last PMLN government (2013-18). Under the PTI-drive program, Saudi Arabia had provided $4.2 billion, including $3 billion in stores and $1.2 billion in oil office for one year, and linked it to the IMF program.
Currently, Saudi Arabia has provided Pakistan with an improved financial package where its economy is on a difficult road and the country is facing a state of emergency. Extraordinary trading shares held by the State Bank of Pakistan expired at six billion dollars six to seven weeks ago and declined to $10. With a record low of up to $13.2 billion in the first nine months and tightening repayment requirements in advance, Pakistan needs $9 to $12 billion in revenue by June 2022 to avoid further extraordinary financial savings. Pakistan must repay foreign debt reserves of $3 billion in the last quarter (April-June) of the ongoing financial year.
Pakistan has suggested the oil office double and the Saudi Arabian government has acknowledged that the official said
The recovery of the IMF program is considered basic because the need for external funding is estimated at $35 billion in the next 2022-23 financial year and without program support, a major support gap will not be eliminated. In any case, independent market analysts, such as Dr. Ashfaque Hasan Khan, are proposing a ban on the importation of large vehicles and other non-essential items to save dollars.
Later on Twitter, Miftah Ismail said, "I have just said goodbye to Prime Minister Shehbaz Sharif and various colleagues at Jeddah Airport, who are on their way to Islamabad after a brief visit to Abu Dhabi to meet with Prince Muhammad Bin Zayed. I live in SA to meet with Saudi authorities and initiate special negotiations.
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