Islamabad
\nPakistan has successfully raised $3 billion through a landmark dual-tranche Eurobond transaction, the largest-ever international bond issuance by the country in a single transaction, the Ministry of Finance said on Thursday.
\nThe transaction attracted nearly $6bn in orders, almost twice the amount issued, from a broad and diversified base of institutional investors across global markets and continents.
\nThe offering comprises $1.75bn through a 5.5-year Eurobond carrying a coupon of 7.5% and $1.25bn through a 10-year Eurobond at 7.9%.
\nThe ministry said strong demand across both maturities, particularly for the 10-year tenor, demonstrated Pakistan\u2019s ability to mobilise sizeable longer-term financing as international investors reassessed the country\u2019s improving macroeconomic and credit fundamentals.
\n\u201cThe competitive pricing across both maturities, together with strong demand extending to the 10-year tenor, demonstrates Pakistan\u2019s ability to mobilise sizeable longer-term financing,\u201d the ministry said.
\nIt said the demand reflected investors\u2019 reassessment of Pakistan\u2019s improving macroeconomic and credit fundamentals.
\nThe transaction also marked an important milestone in the government\u2019s broader road-to-market strategy and was the first issuance under the country\u2019s renewed Global Medium-Term Note (GMTN) Programme.
\nThe move follows Pakistan\u2019s inaugural Panda Bond and successive improvements in its sovereign credit profile. The ministry said the renewed GMTN programme would provide a platform for more diversified access to international capital markets.
\nIt stressed that the government\u2019s objective was \u201cnot simply to raise additional debt\u201d, but to pursue active sovereign liability management.
\nThe strategy involves diversifying financing sources, extending debt maturities, reducing refinancing and rollover risks, and replacing shorter-term and more expensive obligations with longer-duration financing where economically beneficial.
\nPakistan has already pursued substantial early retirement of domestic debt ahead of maturity, and the ministry said the same approach was being extended to external financing.
\n\u201cBorrow better. Extend maturities. Diversify funding. Reduce refinancing risk. Improve the sovereign debt profile,\u201d it said.
\nThe ministry said Pakistan\u2019s economic trajectory over the past three years had been increasingly recognised through successive sovereign credit-rating upgrades and improved access to international markets.
\nIt said the depth of the order book, geographical diversity of investors and strong demand for the 10-year bond offered a \u201cpowerful market-based signal of renewed confidence\u201d in the country\u2019s medium- and long-term trajectory.
\n\u201cNow, global investors have reinforced that assessment with billions of dollars of actual capital,\u201d the ministry said.
\nIt nevertheless acknowledged that the reform process was not complete, with fiscal discipline, structural reforms, export competitiveness, investment and productivity requiring continued attention.
\nThe ministry described the transaction as a landmark moment in Pakistan\u2019s progression from economic stabilisation towards sustainable growth, while crediting the Debt Management Office with a pivotal role in executing the deal.
\nThe latest issuance follows Pakistan\u2019s April 2026 Eurobond transaction, when the government initially raised $500m through a three-year bond.
\nThe issue was subsequently increased to $750m through a $250m green-shoe option after stronger-than-expected investor demand. The bond matures in April 2029.
\nPakistan had also repaid a $1.4bn Eurobond that matured in April, helping the government re-establish a pricing benchmark in international debt markets.<\/p>\n","protected":false},"excerpt":{"rendered":"
Islamabad Pakistan has successfully raised $3 billion through a landmark dual-tranche Eurobond transaction, the largest-ever international bond issuance by the country in a single transaction, the Ministry of Finance said on Thursday. The transaction attracted nearly $6bn in orders, almost twice the amount issued, from a broad and diversified base of institutional investors across global …<\/p>\n","protected":false},"author":4,"featured_media":102552,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-102537","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business"],"_links":{"self":[{"href":"https:\/\/nabanews.pk\/en\/wp-json\/wp\/v2\/posts\/102537","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/nabanews.pk\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/nabanews.pk\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/nabanews.pk\/en\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/nabanews.pk\/en\/wp-json\/wp\/v2\/comments?post=102537"}],"version-history":[{"count":1,"href":"https:\/\/nabanews.pk\/en\/wp-json\/wp\/v2\/posts\/102537\/revisions"}],"predecessor-version":[{"id":102564,"href":"https:\/\/nabanews.pk\/en\/wp-json\/wp\/v2\/posts\/102537\/revisions\/102564"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/nabanews.pk\/en\/wp-json\/wp\/v2\/media\/102552"}],"wp:attachment":[{"href":"https:\/\/nabanews.pk\/en\/wp-json\/wp\/v2\/media?parent=102537"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/nabanews.pk\/en\/wp-json\/wp\/v2\/categories?post=102537"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/nabanews.pk\/en\/wp-json\/wp\/v2\/tags?post=102537"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}