ISLAMABAD: Saudi Arabia has announced that it will provide $380 million loan to Pakistan.

According to a private TV news channel, the agreement between the Economic Affairs Division and a Saudi Fund will be signed on Tuesday.

From the $380 million loan, the amount of $200 million will be spent to cover the budget deficit whereas $100 million will be spent on the purchase of urea for the upcoming crops.

The remaining $80 million will be spent on the Neelum-Jhelum Hydro Power Project. Although the amount allocated for the hydro power project is moderate, the money will facilitate further donor funding.—APP