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Saudi Arabia ‘to invest $10bn' in China Pakistan Economic Corridor

09:58 PM | 20 Sep, 2018
Saudi Arabia ‘to invest $10bn' in China Pakistan Economic Corridor
LAHORE – The China Pakistan Economic Corridor (CPEC) is set to get a major push as Saudi Arabia has agreed to join the multi-billion-dollar project with a US$10 billion investment.

With the Islamic Kingdom joining the Belt and Road Initiative (BRI) of the Chinese government, the major stakeholders – Islamabad and Beijing – will speed up the efforts to complete projects as soon as possible.

Pakistan Tehreek-e-Insaf's Central Deputy Secretary General Usman Dar took to Twitter to announce that Prime Minister Imran Khan’s government has struck $10 billion deal with Saudi Arabia.

Reports in media suggest Saudia Arabia is going to turn Gawadar – a key port in southwestern Balochistan province - into an oil city, which was part of an agreed plan with China. Before striking an agreement with the Saudis, reports say, Pakistani leadership took the Chinese into confidence.

The country’s current economic situation, especially depleting foreign exchange reserves, requires immediate financial assistance. The government plans to pay off Rs50 billion to Independent Power Producers (IPPs) and Pakistan State Oil (PSO), as the circular debt, loans and liabilities of the power sector have surged to an all-time high of Rs1,155 billion.

The Saudi investment, yet to be announced by the government, is some 90 percent of the success Imran Khan has achieved during his first foreign visit to the brotherly Muslim nation, as the PM had aimed for a total of US$15 billion investment.

The Information and Broadcasting Minister, Fawad Chaudhry, announced on Thursday that Saudi Arabia would become the third strategic partner in the multi-billion dollars China Pakistan Economic Corridor (CPEC).

Addressing a press conference in Islamabad, the minister revealed the discussions that took place between premier Imran Khan and Saudi royals in a two-day visit, confirming that the petro-state would invest in the CPEC as an economic partner.

The minister highlighted that with the latest visit, there would be a new shift in the strategic ties between the Muslim states, a consultative committee for which has been devised.

‘Saudi Arabia and Pakistan would stand by each other on each and every occasion,’ said the minister.

The minister was part of the PM’s team, who met the Saudi monarchs to get an assurance of ‘maximum assistance’ to Pakistan.

The Saudi royals also backed Prime Minister Imran Khan’s reform agenda to turn the country into an Islamic welfare state.

As the premier concluded his two-day visit to Saudi Arabia and the UAE, which is also going to invest massively in the CPEC, Pakistan’s Army Chief General Qamar Javed Bajwa met Chinese President Xi Jinping in Beijing on a special invitation to discuss regional security environment, challenges and way forward.

The $50 billion China-Pakistan Economic Corridor (CPEC) is the flagship project of the multi-billion dollar Belt and Road Initiative (BRI), an ambitious project of President Xi aimed at enhancing China's trade around the world through massive infrastructure projects.

"While we work for peace, we need to stay strong to thwart designs of all inimical forces challenging our resolve. We greatly value Chinese support," Gen. Bajwa was quoted by Inter Services Public Relations (ISPR) as saying.

President Xi told the top Pakistani general that those who oppose these project will "never succeed" as these are initiatives aimed at fostering peace and development.

India has opposed the CPEC project.

General Bajwa, who is in China, had called on President Xi after his meetings with the top Chinese military officials, including General Zhang Youxia, the vice chairman of China's Central Military Commission.

The writer is a member of the staff.


Pakistani rupee rate against US Dollar, Euro, Pound, Riyal - Check 14 April forex rates

Pakistani currency remains unchanged against US dollar and other currencies in open market on April 14, 2024.

US Dollar rate in Pakistan

On Sunday, the US dollar was being quoted at 277.5 for buying and 280.5 for selling.

Euro was quoted at 299.95 for buying and 302.9 for selling while British Pound stands at 349.5 for buying, and 353 for selling.

UAE Dirham AED was at 75.45 and Saudi Riyal's new rates was at 73.30. 

Today’s currency exchange rates in Pakistan - 14 April 2024

Source: Forex Association of Pakistan. (last update 08:00 AM)
Currency Symbol Buying Selling
US Dollar USD 277.5 280.5
Euro EUR 299.95 302.9
UK Pound Sterling GBP 349.5 353
U.A.E Dirham AED 75.45
Saudi Riyal SAR 73.3 74.05
Australian Dollar AUD 182.7 184.5
Bahrain Dinar BHD 739.38 747.38
Canadian Dollar CAD 204 206.2
China Yuan CNY 38.45 38.85
Danish Krone DKK 40.45 40.85
Hong Kong Dollar HKD 35.57 35.92
Indian Rupee INR 3.33 3.44
Japanese Yen JPY 1.86
Kuwaiti Dinar KWD 903.91 912.91
Malaysian Ringgit MYR 58.92 59.52
New Zealand Dollar NZD 167.63 169.63
Norwegians Krone NOK 25.38 25.68
Omani Riyal OMR 722.1 730.1
Qatari Riyal QAR 76.35 77.05
Singapore Dollar SGD 206 208
Swedish Korona SEK 25.72 26.02
Swiss Franc CHF 307.11 309.61
Thai Bhat THB 7.61 7.76


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