Pakistan secures $8bn package from Saudi Arabia

[Indos]

Wow. That was a lot quicker than I anticipated. Shahbaz getting the job done. This will give respite and restore confidence in the currency for short term at least

Saudi is getting huge cash with increasing oil price, even last year Aramco net profit is skyrocketing

 

[P@kistan]

IK will never come back. We will see little chaos till next election & appointment of new COAS, then we will be moving forward towards peace, stability and economic growth under national government excluding Niazi.

That was sarcasm. PTI wasted 4 years.

 

[Wood]

Export, debt, GDP, cad are much more important than inflation

This is a subjective opinion.

If you are a daily wage earner, then inflation is the most important determinant for your quality of life. It is more common that the wage does not quickly increase to catch up with inflation. Check with anyone who delivers you food or drives a cab

 

[Hydration]

lets hope pakistan comes back up with a good economy

 

[maithil]

Package has such innocent ring to it. Almost admirable. Amusing to see Sharif loyalists elated over this news about package. They are now even arguing for increase in oil price. Just like that, they changed tune.

 

[IceCold]

IK will never come back. We will see little chaos till next election & appointment of new COAS, then we will be moving forward towards peace, stability and economic growth under national government excluding Niazi.

Beggars cant be choosers.
As for the appointment of the new COAS, no you won't be able to do that and only the next government whomever the people of Pakistan choose and not beggars will appoint the new COAS.

 

[Riz]

IK will never come back. We will see little chaos till next election & appointment of new COAS, then we will be moving forward towards peace, stability and economic growth under national government excluding Niazi.

yes khan will be removed like GHQ once removed sheikh mujeeb from the pakistan map ? similarly now these wise generals are planning another Dhaka pants removing ceremony for themselves ...shabash ab kia is bar BAJWA Punjabistan ka COAS bany ga ?

 

[denel]

Pakistan secures $8bn package from Saudi Arabia​

Pakistan had proposed doubling of the oil facility from $1.2 billion to $2.4 billion and Kingdom of Saudi Arabia agreed to it, an official said​

By Mehtab Haider
May 01, 2022

Crown Prince Mohammed bin Salman receives PM Shehbaz at Al-Salam Royal Palace Jeddah on April 30, 2022. Photo: Twitter/PML_N

ISLAMABAD: Pakistan has secured a "sizeable package" of around $8 billion from Saudi Arabia, including doubling of the oil financing facility, additional money either through deposits or Sukuks and rolling over of the existing $4.2 billion facilities during the visit of Prime Minister Shehbaz Sharif.

"However, technical details are being worked out and will take a couple of weeks to get all documents ready and signed," top official sources privy to the development informed The News on Saturday. Prime Minister Shehbaz Sharif and his official entourage have left Saudi Arabia but Minister for Finance Miftah Ismail is still staying there to finalize the modalities of the increased financial package.

Sharing the salient features of the financial package, the official said that Pakistan had proposed doubling of the oil facility from $1.2 billion to $2.4 billion and Kingdom of Saudi Arabia agreed to it. It was also agreed that the existing deposits of $3 billion would be rolled over for an extended period up to June 2023.

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"Pakistan and KSA discussed an additional package of over $2 billion either through deposits or Sukuk and it is likely that even more money will be provided to Islamabad," said official sources, adding that the size of the total package would be determined when additional money was finalized. Saudi Arabia had provided $3 billion deposits to the State Bank of Pakistan in December 2021 while the Saudi oil facility was operationalised from March 2022 whereby Pakistan was provided $100 million to procure oil. Saudi Arabia had provided a $7.5 billion package during the last tenure of the PMLN government (2013-18). Under the PTI-led regime, Saudi Arabia had provided a package of $4.2 billion, including $3 billion deposits and $1.2 billion oil facility for one year and linked it with the IMF programme.

Now Saudi Arabia has provided an enhanced financial package to Pakistan when its economy is in dire straits and the country is facing a balance of payment crisis. The country’s foreign exchange reserves held by the State Bank of Pakistan depleted by $6 billion in the last six to seven weeks and nosedived to $10.5 billion at the moment. With the rising current account deficit at $13.2 billion in the first nine months and pressing external loan repayment requirements, Pakistan requires financial injections of $9 to $12 billion till June 2022 to avert further depletion of foreign currency reserves. Pakistan will have to repay external debt servicing of $3 billion in the last quarter (April-June) of the current fiscal year.

The revival of the IMF programme is considered as imperative because the gross external financing requirement is estimated to the tune of $35 billion during the next fiscal year 2022-23 and without the backing of the programme, the huge financing gap cannot be bridged. However, independent economists, like Dr Ashfaque Hasan Khan, suggest a ban on the import of luxury cars and other unessential items for saving dollars.

Later in a tweet, Miftah Ismail said, "Just said goodbye to Prime Minister Shehbaz Sharif and other colleagues at Jeddah Airport, who are on their way to Islamabad after a brief stopover in Abu Dhabi to meet Crown Prince Muhammad Bin Zayed. I remain in SA to meet Saudi officials and start technical-level talks."

Pakistan secures $8bn package from Saudi Arabia

ISLAMABAD: Pakistan has secured a sizeable package of around $8 billion from Saudi Arabia, including doubling of the oil financing facility, additional money either through deposits or Sukuks and...

www.thenews.com.pk

It is the same playbook we saw in Egypt.

Under Morsi... the establishment/junta made sure there was nothing for him; they decked the cards against him. When Pharoah Sisi comes in, GCC/KSA flush him with cash.

Tells you that the notion of Imported Govt is not false.

 

[Sinnerman108]

(source)
View attachment 839650

This $1.2 Bn of oil facility was not consumed by PTI - still sitting intact - watch from 7:49 - Bloomberg above mentions that $1.2 Bn

میرے پیارے ھم وطنو ـ پھیک نیوج ؟
​

View attachment 839639



Out of alleged 8Bn, 3Bn is just a pre-mature request for an extension of existing facility that was available to but never used by PTI.
Pre-mature, because facility actually expires in Nov/Dec. Pre-mature request so that SS could be given credit for it.


View attachment 839640


(source)
View attachment 839646

https://twitter.com/x/status/1520648652913479680

View attachment 839648










In the other news, how did one miss this very important development!
Date shows 31-Dec, not sure which year.
Did volume-10 contain something like this?

https://twitter.com/x/status/1520291876238237698

no, that is wrong,
it was only decided to discuss and explore ways to such a deal.
no such deal has been concluded yet.

Please refrain from posting lies.

 

[M.AsfandYar]

@Chak Bamu
Brother would you stay consistent with your views and call this act from SS and PMLN as begging? Essentially PMLN is using the same facilities availed by PTI, only now at a little bigger scale.

I know I wont call it begging, just like I didn’t classify these loans and facilities taken under PTI govt as ‘begging’.

Oh my you really like rubbing it in don't you,

 

[Riz]

yes khan will be removed like GHQ once removed sheikh mujeeb from the pakistan map ? similarly now these wise generals are planning another Dhaka pants removing ceremony for themselves ...shabash ab kia is bar BAJWA Punjabistan ka COAS bany ga ?

 

[Riz]

@AgNoStiC MuSliM thank you brother

 

[AgNoStiC MuSliM]

Quite a few people here say that it is fake. I think maybe there is an in principle agreement, but details like interest rates have not been worked out. At the very least, you see swift intent. No hesitation.

Saudi have a soft corner for the Sharif family. So it would be interesting to see if the loan terms are better than what Imran was able to negotiate

It was also during the Sharif/PMLN government that the National Assembly passed a resolution against participating in the Yemen war (supported by Imran Khan and the PTI which was in the opposition at that time).

We all remember how enraged the Saudies and Emiratis were with Pakistan over that refusal.

Raheel Sharif was COAS at the time. Given that the current PDM regime was installed by the current Army Leadership led by COAS Bajwa, it remains to be seen what behind the scenes commitments have been made by the current Army leadership to smooth things over.

 

[Wood]

It was also during the Sharif/PMLN government that the National Assembly passed a resolution against participating in the Yemen war (supported by Imran Khan and the PTI which was in the opposition at that time).

We all remember how enraged the Saudies and Emiratis were with Pakistan over that refusal.

Raheel Sharif was COAS at the time. Given that the current PDM regime was installed by the current Army Leadership led by COAS Bajwa, it remains to be seen what behind the scenes commitments have been made by the current Army leadership to smooth things over.

Interesting point. I've read this before but was unable to recall. While Pakistan could have rightfully decided that it is not in its security interest to get involved in Yemen, I empathize with the Saudi Kingdom as well. Saudi has been loyal to both US and Pakistan over the years, but in return neither party stood completely with Saudi in their request to deal with Yemen conflict. Every country will want something in return when they consider another as an ally. Saudi will not be in the wrong to expect some concessions from Pakistan this time.

 

[AgNoStiC MuSliM]

Interesting point. I've read this before but was unable to recall. While Pakistan could have rightfully decided that it is not in its security interest to get involved in Yemen, I empathize with the Saudi Kingdom as well. Saudi has been loyal to both US and Pakistan over the years, but in return neither party stood completely with Saudi in their request to deal with Yemen conflict. Every country will want something in return when they consider another as an ally. Saudi will not be in the wrong to expect some concessions from Pakistan this time.

Demands should be made within reason. Expecting Pakistan to deploy troops in support of one side in a sectarian civil war in Yemen was completely unreasonable on the part of the Saudis, especially given that Pakistan has its own sectarian problems and has been a battleground for Saudi-Iranian sectarian proxy warfare.