PM Shehbaz Sharif Welcomes $1.20 Billion Oil Import Financing Deal
Pakistan & Saudi Arabia Sign $1.2 Billion Oil Import Financing Facility. A delegation from the Saudi Fund for Development (SFD) led by Sultan bin Abdul Rahman Al-Murshid, Chief Executive Officer (CEO), called on Prime Minister Shehbaz Sharif today where the Prime Minister signed an Oil Import Financing Facility worth $1.2 billion.
The Prime Minister welcomed the delegation and appreciated the long-standing friendship between the Kingdom of Saudi Arabia and Pakistan and SFD’s efforts in providing financial assistance to Pakistan in the health, energy, infrastructure and education sectors, as well as its efforts for reconstruction after the 2022 floods.
The CEO of SFD shared updates on ongoing projects including the Mohmand Multipurpose Hydropower Project, the Golan Gol Hydropower Project, the Malakand Regional Development Project, and other projects funded by Saudi grants.
The Prime Minister, while appreciating the support of SFD, highlighted the need to expedite the processing of new projects in the field of green energy and infrastructure in partnership with SFD, which once implemented will go a long way in the economic revival of the country, besides meeting the needs of the country, local communities.
The CEO assured early implementation of the joint projects and also reiterated that Saudi Arabia, under the leadership of the Royal Family, will continue to provide all possible support and cooperation to Pakistan.
The Prime Minister witnessed the signing of loan agreements for oil import financing facility as well as gravity flow water supply scheme in Mansehra, Khyber Pakhtunkhwa. Secretary Economic Affairs Division Dr. Kazim Niaz and CEO SFD signed the agreements on behalf of their respective governments.
Sharif welcomed the signing of the Oil Import Financing Facility under which Pakistan will receive $1.20 billion in oil on deferred payment for one year. The scheme will strengthen Pakistan’s economic resilience by ensuring stable supply of petroleum products while reducing the immediate financial burden.
The SFD will provide $41 million for a gravity flow water supply scheme in Mansehra, Khyber Pakhtunkhwa, which will increase access to clean drinking water for 150,000 people and provide water to 201,249 people by 2040, improving overall public health and quality of life.
