Saudi Arabia intends to contribute $5 billion to Turkey's central bank, a major boost to President Recep Tayyip Erdogan's bid to keep the lira stable ahead of next year's presidential elections, Bloomberg wrote.

A Saudi finance ministry spokesman said the kingdom is in the final stage of talks on offering aid to Turkey, confirming an earlier Reuters report.

Turkey's Treasury and Finance Ministry also confirmed that the two countries are about to finalize a deposit deal.

The agreement, which will almost certainly be signed soon, crowns a recent rapprochement that ended years of feuding between the Turkish and Saudi governments. It will also be a major victory for Erdogan, since earlier this year he sought financial assistance from the Gulf states.

Earlier, Erdogan told reporters that Turkey's official reserves will likely soon rise to $130 billion, up from a 2022 peak of $117.5 billion during the week of Nov. 11.