Saudi deposits $ 5 b in quake-hit Turkey’s Central Bank

RIYADH, AFP: Saudi Arabia said Monday it was depositing $ 5 billion in Turkey’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 Turkey and its brotherly people,” the statement said.

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

The move highlights a rapprochement between Riyadh and Ankara after ties suffered a heavy blow with the 2018 killing of Saudi journalist and Government critic Jamal Khashoggi in the kingdom’s Istanbul consulate.

Saudi agents killed and dismembered Khashoggi, whose remains have never been found.

Turkey angered Saudi Arabia by vigorously pursuing the case at the time, opening an investigation and briefing international media about the lurid details of the murder.