Pakistan has sought an extension of its $1.2 billion oil financing facility from Saudi Arabia after fully utilizing the arrangement between May 2025 and April 2026, according to sources familiar with the matter.

The facility, provided by the Saudi Fund for Development, supplied $100 million per month over a 12-month period and helped Pakistan meet its external financing needs during the fiscal year. However, Saudi authorities have not yet confirmed whether the support will continue.

Federal Minister for Economic Affairs Ahad Cheema said the final tranche under the facility was availed in April 2026, completing the full drawdown of the $1.2 billion arrangement.

The oil facility came alongside broader financial support from Riyadh. Sources said Saudi Arabia placed an additional $3 billion with Pakistan in April 2026, taking its total deposits with the State Bank of Pakistan to $8 billion.

The fresh inflows contributed to a sharp increase in Pakistan’s external financing in April. Official data released by the Economic Affairs Division showed the country secured $4.47 billion during the month through multilateral and bilateral inflows, deposits, Eurobond issuance, and commercial loans, compared with just $0.57 million in the same month last year.

During the first 10 months of the current fiscal year, from July to April, Pakistan received total foreign loans of $11.06 billion, up from $6.08 billion in the corresponding period of the previous year.

The latest figures highlight Pakistan’s continued reliance on external financial support as it works to manage its funding requirements and maintain economic stability.