RIYADH: Saudi Arabia said Monday it was depositing $5 billion in Turkiye’s central bank, a potentially major boost as the country grapples with inflation and damage from last month’s earthquake ahead of presidential elections.

Ahmed Al Khateeb, the Saudi tourism minister and board chairman of the Saudi Fund for Development, signed an agreement with Turkish central bank governor Sahap Kavcioglu “to make a significant $5 billion deposit”, the Saudi government said in a statement.

“This deposit is a testament to the close cooperation and historical ties that exist between the Kingdom of Saudi Arabia and the Republic of Turkiye and its brotherly people,” the statement said.

The decision, which will shore up Turkiye’s foreign reserves and help it combat inflation, was made on the order of King Salman and Crown Prince Mohammed bin Salman, it said.—AFP