The Islamic Development Bank (IDB) will provide $4.5 billion oil financing facility to Pakistan, Aaj News reported on Saturday, quoting the finance ministry spokesperson. The IDB will provide Pakistan $1.5 billion worth of oil on deferred payment each year, said the spokesperson, adding that oil worth $100 million has already been received in the first phase of the assistance programme while $270 million oil supplies are scheduled for the second phase.

Pakistan government has been holding talks to finalise an agreement with the IDB for the supply of Liquefied Natural Gas (LNG) on similar lines. The oil supply agreements with Saudi Arabia had been formalised and Pakistan would begin availing oil on deferred payments from mid-February.

Copyright Business Recorder, 2019