Pakistan has decided to issue an additional $250 million in Eurobonds on international markets, as part of a broader plan that could raise total issuance to over USD 1 billion, according to Finance Ministry sources.
Pakistan has decided to issue an additional $250 million in Eurobonds on international markets, as part of a broader plan that could raise total issuance to over USD 1 billion, according to Finance Ministry sources.
Officials said further bond offerings may be carried out over the next two months of the current fiscal year, depending on financing needs.
The decision to float additional Eurobonds will be guided by evolving funding requirements, sources added.
So far, the government has already raised approximately $750 million through Eurobond issuances in global markets, officials said.
The new bonds are expected to carry an interest rate of below 7%, according to sources of the Ministry of Finance.
The government already sold $750 million worth of Euro Bonds exercising the green shoe option of USD 250 million, which carries a rate of return of 6.975%.
Pakistan this month spent $1.3 billion on the repayment of maturing Euro Bonds.
The issuance is being conducted under a medium-term note program, with bonds offered for a three-year period.
Finance Ministry officials said the move reflects renewed investor confidence in Pakistan’s economy and will help strengthen the country’s presence in international bond markets.
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