A day after receiving $2 billion aid from Saudi Arabia, the government on Friday announced it had raised $500 million from the international capital market through a Eurobond after four years.
In a post on the social media platform X, Adviser to the Finance Minister Khurram Schehzad said Pakistan has successfully returned to the international capital markets after a four-year hiatus, with the issuance of a $500m Eurobond today, at attractive terms under its Global Medium-Term Note (GMTN) Programme.
He said the “three-year Eurobond witnessed strong investor demand despite ongoing global market and geopolitical uncertainties — signalling renewed confidence in Pakistan’s economic outlook,” he said.
Sources said the bond attracted 6.95 per cent interest rates with maturity in April 2029.
In his X post, Schehzad said that this “well-timed issuance adds fresh liquidity to Pakistan’s sovereign yield curve, strengthening its presence in global bond markets and supporting the development of a more efficient pricing benchmark for future transactions”.
He said that the development marked Pakistan’s successful market re-entry after four years, demonstrated strong investor demand in a challenging global environment and strengthened positioning in international capital markets.
Earlier, speaking to the media in Washington, Finance Minister Muhammad Aurangzeb signalled that Pakistan’s economy was going in the right direction. He further stressed that it was a “huge vote of confidence” in Pakistan’s leadership and the country’s economic direction. Last week, Pakistan had repaid $1.4 billion against the maturity of a Eurobond on April 8.