ISLAMABAD/RIYADH: Pakistan and Saudi Arabia will discuss the possibility of supporting the kingdom’s $3 billion deposit in the State Bank of Pakistan by extending its term “or through other options,” a joint statement carried by Saudi state news agency SPA said on Sunday.
Last year, Saudi Arabia deposited $3 billion in the central bank to help support Pakistan’s foreign reserves. With a yawning current account deficit and foreign reserves falling to as low as $10.8 billion, the nation is in dire need of external finances.
Pakistan also welcomed a Saudi decision to extend an agreement to finance exports of crude oil products and oil derivatives, SPA reported.
The statement came after a visit by Prime Minister Shehbaz Sharif to Saudi Arabia, where he met with Crown Prince Mohammed bin Salman.
‘SECURITY, STABILITY’
Meanwhile, the two nations also affirmed their stance to consolidate security and stability, renounce violence, extremism and terrorism, support the unity and independence of the countries of the region and their territorial integrity, as well as to give priority to political solutions that bring prosperity and progress to the region and its people.
In the political context, the two sides exchanged views on issues of mutual concern at the regional and international levels, and agreed on the importance to continue to coordinate their positions in a way that serves their interests, said the joint statement.
The text of the Joint Statement issued at the conclusion of PM Shehbaz Sharif’s 3-day visit to the Kingdom of Saudi Arabia. pic.twitter.com/GN80HMMG7i
— Prime Minister’s Office (@PakPMO) May 1, 2022
Sharif along with a delegation visited the kingdom at the invitation of the crown prince.
The two sides agreed to continue exchanging support and coordination in international organizations and forums and stressed the importance of all countries’ commitment to the United Nations Charter and the principles of international law, adherence to the principles of good neighbourliness, respect for the unity and sovereignty of states, non-interference in internal affairs, and striving to resolve disputes by peaceful means.
The kingdom welcomed the statements of Pakistan mentioning keenness to find a solution to all disputes with India, including the Jammu and Kashmir dispute.
The two sides stressed the importance of dialogue between Pakistan and India in order to resolve the issues between the two countries, especially the Jammu and Kashmir dispute, to ensure peace and stability in the region.
During an official meeting between Sharif and Mohammed bin Salman, they reviewed the historical relations between the two countries and the close cooperation in various fields, as well as discussed ways to strengthen relations in all areas.
In the bilateral context, the two sides stressed the importance of strengthening work through the Saudi-Pakistan Supreme Coordination Council, diversifying trade exchange between the two brotherly countries and intensifying communication between the private sector in the two countries in order to discuss trade and investment opportunities and turn them into tangible partnerships.
The kingdom affirmed its continuous support to Pakistan and its economy including the discussion of augmenting the $3 billion deposit with the central bank through term extension or otherwise, and exploring options to further enhance the financing of petroleum products and supporting the economic structural reforms for the benefit of Pakistan and its people.
“Pakistan greatly appreciates the continued strong support of the Kingdom of Saudi Arabia to Pakistan,” the statement said.
The two sides also agreed to deepen the investment cooperation between the two countries, stimulate partnerships and enable investment integration opportunities between the private sector of the two countries.
They also agreed to join efforts to develop the investment environment in the two countries and support a number of investment sectors of common interest.
— With Reuters
