ISLAMABAD: (Yaseen Hashmi) Pakistan has formally requested Saudi Arabia to extend its $1.2 billion Saudi Oil Facility (SOF) for an additional two years after the current term ends, according to senior Government sources.
The extension request is linked to the ongoing International Monetary Fund (IMF) program, officials said. Pakistan has submitted a new formal request to Saudi authorities and is now awaiting official approval.
Despite repeated attempts, the Ministries of Petroleum and Finance have declined to comment on the matter.
The Saudi Oil Facility, initially provided to support Pakistan’s energy sector, has been a critical source of liquidity, helping the country manage its oil imports amid economic challenges. The extension is supposed to provide Pakistan with additional financial breathing space while the IMF program continues.
Sources emphasized that the approval process depends on Saudi Arabia’s internal deliberations, and no timeline for a decision has been announced yet.
The two-year extension, if granted, would reinforce Pakistan’s energy security and support macroeconomic stability amid ongoing fiscal and balance-of-payments pressures.
About The Author
