Mr Khan has the political space to seek a financial bailout package as his government deems necessary; no one has denied the need for a bailout and the accusations of the opposition ring hollow because they fared little better when in office. "But thanks to Saudi Arab's extension of assistance, we are out of the pressure", he said.
Long-time allies Islamabad and Riyadh signed the loan agreement as Pakistan's recently elected Prime Minister Imran Khan attended the high-profile global investment conference despite calls from Pakistani human rights activists to boycott the venue in protest of the killing of journalist Jamal Khashoggi in the Saudi consulate in Istanbul.
Expressing disappointment over Khan's address to the nation, the Pakistan Muslim League-Nawaz (PML-N) and the Pakistan Peoples Party (PPP) asked the government to brief the nation about the terms and conditions on which Saudi Arabia had agreed to provide a bailout package to the country.
An IMF team is set to arrive in Pakistan in early November to begin negotiations. He said the country's total foreign debt before 1970 stood at Rs30 billion. Yet, on Tuesday, Turkish President Recep Tayyip Erdogan, deeply angered by the killing of Khashoggi in his country, effectively rejected the Saudi government narrative about the murder.
"The reason I feel I have to avail myself of this opportunity is because in a country of 210 million people right now we have the worst debt crisis in our history", he was quoted as saying.
The prime minister, on his first official visit to China after assuming the Office in August 2018, will be accompanied by a high-level delegation including the Minister of Foreign Affairs Shah Mahmood Qureshi.
Khashoggi killing was premeditated, admit Saudis
US President Donald Trump has stated that it will be up to the US Congress to decide what to do in response to the killing. A team of Saudi and Turkish investigators said the people who killed Jamal Khashoggi likely planned the murder in advance.
Cash-strapped Pakistan has already announced plans to cut a United States dollars 8.2 billion railway project between the Karachi and Peshawar the biggest under the CPEC by about USD 2 billion to reduce the debt burden.
Pakistani officials have been concerned the United States, which has fallen out with Islamabad, will push the International Monetary Fund to impose harsh conditions on Pakistan as part of any bailout.
The Prime Minister also said that the government was in contact with two other friendly countries for more financial assistance.
The Pakistan Stock Exchange's benchmark 100-share index rose 1,256.29 points to trade at 38,971.19 at 10.34am (0534 GMT), according to the bourse's website. However, it will be for one year in the form of cash assistance and oil on deferred payments.
It is Khan's second visit to Saudi Arabia in just over a month.
The kingdom said it would be willing to place $3 billion (€2.6 billion) with Pakistan's central bank to maintain depleting reserves at a safe level.