This move by Mohammed bin Salman aims to further alleviate the South Asian economy, which has been hit by deadly floods
The Saudi Development Fund will conduct a study to increase its deposit in Pakistan’s central bank to $5 billion from $3 billion previously, the state-run Saudi Press Agency reported Tuesday. According to the same report, the fund will also evaluate a plan to increase investments in Pakistan to $10 billion.
The kingdom’s fund provides concessional loans and grants to developing countries as a means to support allies and strengthen new relationships.
Pakistan’s economy has been starved of funds after an impasse with the International Monetary Fund over tax targets delayed loan payments. The situation was exacerbated by floods that inundated a third of the country and halved the growth of its economy.