Pakistan Prepares $2.75B International Bonds to Fill Funding Gap

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Pakistan Prepares $2.75B International Bonds to Fill Funding Gap

Pakistan has finalized plans to issue international bonds worth $2.75 billion over the next three years. The move aims to strengthen external financing and help reduce the country’s funding gap.

Officials said Pakistan is preparing to launch a Panda Bond of $250 million by the end of this month or early February. Panda Bonds are issued in the Chinese market, and their total value is expected to gradually reach $1 billion.

In addition to China, Pakistan will approach international capital markets. The total bond volume could reach $1 billion by the next financial year. Plans are also in place to issue another $1.5 billion in international bonds in the 2027-28 financial year.

The Ministry of Finance said these bonds will improve access to external commercial financing. They are expected to support Pakistan’s economy and help bridge the financing gap in the coming years.

International agencies have recently upgraded Pakistan’s credit rating. Officials believe that continued improvements in macroeconomic conditions will further boost investor confidence.

Analysts say issuing bonds in global markets is a key strategy for Pakistan. By doing so, the country can secure long-term financing at competitive rates. The Panda Bond initiative also diversifies Pakistan’s sources of funding and reduces reliance on domestic borrowing.

The government emphasized that the bond issuance will be carefully managed to maintain fiscal stability. Funds raised through these bonds are expected to support development projects, debt management, and other priority areas.

Officials confirmed that discussions with international investors and financial institutions are ongoing. The success of these bond offerings will be closely monitored to meet Pakistan’s financing goals.

In other related news also read Pakistan Railways Updates Schedule amid Heavy Fog

The launch of international bonds shows Pakistan’s commitment to attracting global investment. Authorities hope this move will strengthen financial stability and support long-term economic growth.

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