Saudi Arabia says ‘will continue to support’ Pakistan financially

Pakistani commuters drive their vehicles under a banner welcoming Saudi Arabian Crown Prince Mohammed bin Salman displayed on a bridge, ahead of his arrival, in Islamabad, Pakistan, on February 15, 2019. (AFP/File)
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Updated 08 December 2022
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Saudi Arabia says ‘will continue to support’ Pakistan financially

  • Pakistan’s state bank says in talks with ‘friendly country’ for $3 billion loan
  • Amid soaring infation, cash-strapped Pakistan is in desperate need of finances

ISLAMABAD: Saudi Arabia’s Finance Minister Mohammed Al Jadaan said the kingdom would continue to support Pakistan’s finances as much as it can, as the country looks to shore up alliances with others struggling from inflation, Bloomberg reported on Thursday.

With political instability on the rise, Pakistan is beset with various economic problems. The South Asian country has to pay off mounting external debt while its reserves continue to dwindle. It’s currency, the rupee, has failed to register strong growth against the US dollar in recent weeks. 

To make matters worse, in times of high inflation, devastating floods killed over 1,700, destroyed swathes of crops and damaged critical infrastructure in Pakistan this monsoon season. The country estimates losses over $30 billion from the floods. 

“The Saudi government will ‘continue to support Pakistan as much as we can,’” Bloomberg quoted Al Jadaan as saying at a press conference in Riyadh.

Last week, Saudi Arabia extended the term of a $3 billion deposit it made to Pakistan's foreign reserves to help the country grapple with its economic crisis.

Earlier today, Thursday, Pakistan’s central bank governor confirmed Islamabad is in talks for a $3 billion loan from a “friendly country”.

“The Government is also in talks with a friendly country for the disbursement of a $3 billion loan and negotiations with multilateral agencies are progressing, for further financial support,” State Bank of Pakistan (SBP) Governor Jameel Ahmad said in a podcast.


Bangladesh requests Pakistan to play T20 World Cup match against India on Feb. 15

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Bangladesh requests Pakistan to play T20 World Cup match against India on Feb. 15

  • Islamabad announced boycotting the Feb. 15 match in Colombo to protest the ICC’s exclusion of Bangladesh from the T20 World Cup
  • ’We are deeply moved by Pakistan’s efforts to go above and beyond in supporting Bangladesh during this period,’ the BCB chief says

ISLAMABAD: The Bangladesh Cricket Board (BCB) on Monday formally requested Pakistan to play its scheduled T20 World Cup match against arch-rival India on Feb. 15, following Islamabad’s decision to boycott the high-profile fixture.

Islamabad announced boycotting the Feb. 15 Pakistan-India match in Colombo to protest the International Cricket Council’s (ICC) exclusion of Bangladesh from the T20 World Cup, following Dhaka’s decision to not play matches in India owing to security fears.

On Sunday, ICC Deputy Chairman Imran Khwaja arrived in Lahore for talks with PCB officials and BCB President Aminul Islam as the sport’s governing body strived to save the high-stakes T20 World Cup encounter.

In a statement, the BCB thanked the PCB, ICC and all others for their positive roles in trying to “overcome recent challenges,” particularly thanking PCB Chairman Mohsin Naqvi and Pakistani cricket fans for demonstrating “exemplary sportsmanship and solidarity.”

“We are deeply moved by Pakistan’s efforts to go above and beyond in supporting Bangladesh during this period. Long may our brotherhood flourish,” BCB President Islam said in a statement.

“Following my short visit to Pakistan yesterday and given the forthcoming outcomes of our discussions, I request Pakistan to play the ICC T20 World Cup game on 15 February against India for the benefit of the entire cricket ecosystem.”

The dispute stemmed from the ICC’s decision to replace Bangladesh with Scotland last month after Bangladesh refused to play tournament matches in India. Dhaka’s decision followed the removal of Mustafizur Rahman from the Indian Premier League (IPL). He was bought for $1 million by the IPL’s Kolkata Knight Riders, but on Jan. 3 the Board of Control for Cricket in India (BCCI) ordered Kolkata to release Mustafizur without a public explanation but amid regional tensions.

Pakistani cricket authorities subsequently announced boycotting the match against India at R. Premadasa Stadium in Colombo on Feb. 15. An India-Pakistan fixture is the sport’s most lucrative asset, generating a massive share of global broadcasting and sponsorship revenue.

The PCB has remained defiant amid reports of potential sanctions. On Saturday, it rejected claims by Indian media that it had initiated a dialogue with the ICC to find a way out of the standoff.

The standoff highlights the growing friction within the sport’s governance, with Pakistan accusing India’s cricket board of influencing the ICC’s decisions. India generates the largest share of cricket’s commercial revenue and hence enjoys considerable influence over the sport. Critics argue that this financial contribution translates into decisive leverage within the ICC.

A large part of that revenue comes from the Indian Premier League (IPL), the sport’s most lucrative T20 cricket competition, which is run by the Board of Control for Cricket in India (BCCI). Between 2024 and 2027, the IPL is projected to earn $1.15 billion, nearly 39 percent of the ICC’s total annual revenue, according to international media reports.