The Saudi-backed Islamic Development Bank (IsDB) will lend Pakistan oil worth $4.5 billion.
A spokesperson for the Ministry of Finance on Saturday claimed,
The IsDB will lend Pakistan oil worth $4.5 billion over three years. The oil will be lent in three installments of $1.5 billion each every year.
The spokesperson further said that in the first phase, they have received oil worth $100 million. In the second phase, oil worth $270 million will be delivered.
Previously in July 2018, the Islamic Development Bank (IDB) had activated its three-year $4.5-billion oil financing facility for Pakistan.
“Talks with Saudi Arabia regarding lending of oil have been finalized. We will start receiving oil from the kingdom from mid-February,” he shared.
He further stated that they are also in talks with the IsDB regarding lending of liquefied natural gas (LNG).
The spokesperson further said that there has been headway in talks with the United Arab Emirates regarding lending of oil.
The development comes a day after the State Bank of Pakistan received the last tranche of $1 billion from Saudi Arabia.
United Arab of Emirates has also transferred $1 billion to the SBP on Thursday, its first tranche of the committed $3 billion from the brotherly country. It was received under an agreement.