Pakistan seeks extension in Saudi oil facility as Riyadh yet to confirm renewal

Pakistan has fully utilised a $1.2 billion oil financing facility provided by the Saudi Fund for Development during FY26, while Islamabad has also requested an extension in the arrangement that has yet to receive confirmation from Saudi Arabia, The News reported. 

Federal Minister for Economic Affairs Ahad Cheema said the Saudi Fund for Development provided the oil facility from May 2025 to April 2026 through monthly disbursements of $100 million.

He said the final tranche under the facility was received in April 2026.

Saudi Arabia extended an additional $3 billion deposit to Pakistan in April 2026, increasing total Saudi deposits held with the State Bank of Pakistan to $8 billion.

Data released by the Economic Affairs Division showed that Pakistan secured $4.47 billion in foreign inflows during April 2026 through multilateral and bilateral financing, deposits, Eurobond-related financing and commercial loans, compared to $570 million in the same month of the previous fiscal year.

The data further showed that Pakistan received total foreign loans and financing of $11.06 billion during July-April FY26, compared to $6.08 billion in the corresponding period of the last fiscal year.