Saudi Arabia Vowed $20bn in deals with Pakistan trying to bolster its fragile market

It comes as a portion of a high-profile Asian tour by the kingdom’s Crown Prince Mohammed bin Salman.

Pakistan desperately needs to deal with a balance of payments crisis and is looking to international backers for support.

The prices include an $8bn oil refinery from the primary port city of Gwadar.

The two sides signed several other provisional arrangements and memorandums of knowledge within the energy, petrochemicals and mining sectors, based on reports.

“It is big for stage, and definitely it’ll grow every month and every year, and it will be beneficial to both nations,” the crown prince said.

Pakistan is desperate for cash. The south Asian country’s central bank has only $8bn left foreign reservations and confronts that a balance of payments crisis.

Prime Minister imrankhan is seeking help from friendly nations as a way to cut the magnitude of their bailout package his country is very likely to desire from the International Monetary Fund, under very strict conditions.

The country is seeking its 13th bail-out since the late 1980s and also Saudi Arabia has recently provided a $6bn loan.

Pakistan is your first stop in an Asian trip by the crown prince, also called MBS. He’s advised to be in India by Tuesday and will head to China on Thursday and Friday.

The prince is seeking to recast his international image while in the aftermath of the Jamal Khashoggi event. The journalist was murdered in the Saudi consulate in Istanbul in October.

Against this background, the tour is seen as being a charm offensive by MBS, who is trying to reinforce relationships with allies that are trustworthy as he doles out money,” claims that the BBC’s Abid Hussain.

While Pakistan stands to benefit from Saudi Arabia’s largesse, the south Asian country is also essential into the realm.

Both states have a long-standing military relationship and also the MBS trip comes at a time when geopolitics in the region are shifting – including concerns over the sway of Iran.

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