ISLAMABAD, April 23: Saudi Arabia on Wednesday said it would provide necessary financial support to Pakistan.

During a meeting with Finance Minister Ishaq Dar, Saudi Ambassador Ali S. Awadh Asseri said that economic cooperation in all fields would be enhanced with the new government in Pakistan.

He said Saudi Arabia wanted to see a stable, strong and prosperous democratic system in Pakistan and would continue to enhance its cooperation at the bilateral and multilateral level to promote brotherly relations.

According to a press release issued after the meeting, the finance minister appreciated Saudi government’s economic assistance to Pakistan. He also welcomed the one-time $300 million Saudi oil facility to offset the impact of oil import bill.

The Saudi government has pledged $573 million in assistance for earthquake victims. Of this, $133 million will be grant for development projects in the earthquake-affected areas. The disbursement of the grant is expected to start soon. It also pledged a soft loan of $187 million. Of this, $40 million will be utilised for the Golan Goal hydro-power project and $147 million for development projects in Balakot and Rawalakot.

The two sides expressed satisfaction over the export credit facility of $133 million. Under the facility, Pakistan will import urea fertiliser from Saudi Arabia. The Saudi government also offered $120 million relief assistance carried out through non-governmental relief agencies of Saudi Arabia.

The finance minister also praised the Saudi government for setting up the Saudi Fund for Development (SFD) for providing concessional loans for infrastructure projects in health, education and water sectors.

Under the facility, Saudi Arabia has agreed to finance over 10 projects of $473 million. Of this, projects worth $286 million are in progress.

The two sides also emphasised the role of private sector and their regular interaction through investment conferences and exchange of trade delegations.