Kuwait has expanded its oil credit facility to Pakistan for an unprecedented two years that marks an elaboration of bilateral cooperation in the energy sector.

The message was made during a meeting between Kuwaiti ambassador Nassar Abdulrahman J. Almutairi and Pakistan’s federal minister of petroleum Ali Pervaiz Malik in Islamabad on Wednesday.

According to a statement from Petroleum Division, this is the first time Kuwait has given Pakistan a two-year extension, as the plant has traditionally been renewed on an annual basis.

Minister Malik thanked Kuwait for his continued support and described Gestus as a timely boost for Pakistan’s energy security and economic resilience. He also appreciated the “special homes” made by Kuwait for recognizing Pakistan’s evolving needs.

Ambassador Almutairi confirmed Kuwait’s obligation to expand economic and energy bands with Pakistan and expressed confidence in the country’s current growth track. Discussions during the meeting also explored new investment opportunities in Pakistan’s petroleum sector.

The extended oil credit facility is expected to facilitate the pressure on Pakistan’s currency reserves, which has been under load due to high energy import costs.

Pakistan’s economy has shown signs of stabilization following an international monetary fund (IMF) of $ 7 billion (IMF), which helped to avert a standard in 2024.

In February, Saudi Arabia expanded an oil financing facility of $ 1.2 billion through the Saudi Fund for Development (SFD) for another year. Since 2019, SFD has delivered around $ 6.7 billion to Pakistan for the import of oil derivatives.

The Kuwaiti plant, which has now been expanded for two years, represents a strategic step in strengthening Pakistan’s energy supply, while solidifying regional partnerships that play a crucial role in the country’s financial roadmap.