Pakistan secures $3bn Saudi loan rollover

Pakistan has arranged to extend the repayment period for $3bn of Saudi loans, Finance Minister Muhammad Aurangzeb said on Wednesday, according to Mettis Global. He told reporters at Parliament House that the timing had been postponed to a suitable period after consultations between the two countries. Aurangzeb also described his discussion with Saudi Arabia’s finance minister as productive and pointed to the strength of bilateral ties.

The minister said Pakistan is not seeking further Saudi financial support at present, adding that its foreign exchange reserves can finance three months of imports. The government is also trying to spread external debt repayments rather than bunching them into a single year. Pakistan faces annual Eurobond repayments of about 1.5 billion euros, while an IMF Executive Board meeting is anticipated next month, with its schedule still unannounced.