Saudi Arabia has agreed to deposit $3 billion with the State Bank of Pakistan to support the country’s depleting foreign exchange reserves and mitigate the negative impact of Covid-19 on its economy, the Saudi Press Agency reported on Tuesday.

Additionally, the kingdom has also approved $1.2 billion on oil deferred payments.

“The Saudi Fund for Development announced the issuance of the generous directive to deposit an amount of three billion dollars with the Central Bank of Pakistan to help the Pakistani government support its foreign currency reserves,” the report said.

“In addition, a generous directive was issued to finance the oil derivatives trade with a total amount of one billion and two hundred million dollars during the year,” the report added.

Earlier, Prime Minister Imran Khan expressed gratitude to Riyadh for its steadfast support of Islamabad at every crucial juncture. He reaffirmed Pakistan’s deep fraternal relations with Saudi Arabia and highlighted the significance Islamabad attaches to its strategic ties with the kingdom.

The PM lauded the leadership of the Custodian of the Two Holy Mosques King Salman bin Abdulaziz on the progress and development of the kingdom. He also appreciated Crown Prince Mohammed bin Salman for Saudi Vision 2030, which aims to transform the socio-economic development of the kingdom.

He made the remarks in a meeting with Saudi Crown Prince Mohammed bin Salman bin Abdulaziz Al Saud on the sidelines of the MGI Summit in Riyadh on Monday.