Skip to content
Search

Latest Stories

Pakistan, Saudi Arabia set to sign deal for $2 billion deposits

The assistance from Saudi Arabia comes at a crucial time as the IMF programme, signed in 2019, will expire on June 30, 2023

Pakistan, Saudi Arabia set to sign deal for $2 billion deposits

Pakistan is set to sign a deal for additional deposits of $2 billion from Saudi Arabia, authorities said on Saturday (22), a move that will help the country secure the much-required bailout from the IMF.

In March, Pakistan sought Saudi Arabia's confirmation for funds to secure an IMF deal. Earlier this month Pakistan got Riyadh's nod for additional funding.

The assistance from Saudi Arabia comes at a crucial time as the IMF programme, signed in 2019, will expire on June 30, 2023. The programme cannot be extended beyond the deadline.

The Washington-based crisis lender has imposed the condition on Pakistan that it should secure $3 bn from other countries for the revival of its $7 bn bailout package.

A top government official told The News International that the State Bank of Pakistan would sign a deal with the Saudi Fund for Development (SFD) for an additional $2 bn deposit.

The official added that Saudi Arabia has confirmed the bilateral assistance support to the International Monetary Fund (IMF), which was also acknowledged by the lender's staff, the report said.

This agreement is the follow-up on the confirmation of additional financial support of $2 bn and $1 billion from the kingdom and the UAE, the official added.

Official sources clarified that Pakistan neither made any fresh request for more support from Saudi Arabia nor the UAE, except for the already confirmed $2 bn and $1 bn by these countries, respectively.

Saudi Arabia had already rolled over $3 bn in deposits for one year, which matured on December 5, 2022. This deposit is part of foreign exchange reserves of $4.43 bn, lying with the State Bank of Pakistan.

In March, Pakistan received a rollover of $2 bn in deposits for a period of one year from its all-weather ally China.

Pakistan, currently in the throes of a major economic crisis, is grappling with high external debt, a weak local currency and dwindling foreign exchange reserves.

More For You

JLR-Tata-Getty

JLR had initially planned to manufacture more than 70,000 electric vehicles at the facility. (Photo: Getty Images)

JLR halts plan to build EVs at Tata’s India plant: Report

JAGUAR LAND ROVER (JLR) has put on hold plans to manufacture electric vehicles at Tata Motors’ upcoming £775 million factory in southern India, according to a news report.

The decision was influenced by challenges in balancing price and quality for locally sourced EV components, three of the sources said. They added that slowing demand for electric vehicles was also a factor.

Keep ReadingShow less
Leicester drug supplier Sarju Khushal jailed for 11 years over £2m operation

Sarju Khushal

Leicester drug supplier Sarju Khushal jailed for 11 years over £2m operation

A MAN who supplied controlled drugs on a ‘wholesale’ scale across Leicestershire has been sentenced to 11 years in prison. Sarju Khushal, 30, was arrested in 2022 after investigations revealed he had been transporting drugs from Lancashire into the area.

Khushal, formerly of Hazeldene Road, Leicester, pleaded guilty to several charges, including the supply and conspiracy to supply class A drugs. He was sentenced at Leicester crown court last Thursday (6).

Keep ReadingShow less
Tamil Nadu Education

Tamil, one of the oldest living languages in the world, is a source of pride for the state’s people

Getty images

Education or imposition? Tamil Nadu battles India government over Hindi in schools

A war of words has erupted between Tamil Nadu’s Chief Minister MK Stalin and the federal government over the National Education Policy (NEP) 2020, which recommends a three-language formula in schools, with two of the three being native to India. Stalin has voiced strong objections, claiming that the policy could lead to the imposition of Hindi, a northern Indian language, in non-Hindi-speaking states like Tamil Nadu. The issue has reignited old tensions between southern states and the central government over the privileging of Hindi.

Historical resistance to Hindi

Tamil Nadu has a deep-rooted history of opposing the promotion of Hindi, dating back to the 1960s. Protests broke out in the state when the federal government attempted to make Hindi the sole official language, leading to a compromise that allowed the continued use of English. Language in Tamil Nadu is not merely a means of communication but a powerful symbol of cultural identity. Tamil, one of the oldest living languages in the world, is a source of pride for the state’s people. As a result, any perceived threat to its prominence is met with strong resistance.

Keep ReadingShow less
Former Bristol MP Thangam Debbonaire enters House of Lords as Baroness

Thangam Debbonaire

Former Bristol MP Thangam Debbonaire enters House of Lords as Baroness

FORMER Bristol MP Thangam Debbonaire has taken her seat in the House of Lords after being awarded a life peerage last month.

The 58-year-old, who represented Bristol West for Labour from 2015 until July’s general election, wore the traditional scarlet robes during her introductory ceremony. She will now be known as Baroness Debbonaire of De Beauvoir Town in the London Borough of Hackney.

Keep ReadingShow less