Pakistan returns to global bond markets after four years with $500M Eurobond
Rate of return on 3-year bonds at 6.975%
Business Desk
The Business Desk tracks economic trends, market movements, and business developments, offering analysis of both local and global financial news.
Pakistan has re-entered international capital markets for the first time in four years, issuing a $500 million three-year Eurobond.
The issuance comes at a critical moment for Pakistan's external finances. In April, Pakistan had to repay $4.8 billion in obligations. Of this amount, $1.3 billion for the Eurobond that matured on April 8 has been repaid. The other obligations include $3.5 billion to the UAE across three tranches — $450 million on April 11, $2 billion on April 17, and $1 billion on April 23.
The new Eurobond adds fresh liquidity to Pakistan's sovereign yield curve. It strengthens its presence in global bond markets, supporting the development of a more efficient pricing benchmark for future transactions.
The issuance also signals improving investor sentiment at a time when Pakistan's macroeconomic stability has drawn recognition from the IMF, the World Bank, and institutional investors.
Looking ahead, Pakistan plans to launch requests for proposals for financial advisors for both the GMTN and international Sukuk programs, while the inaugural Panda Bond issuance is also progressing toward completion.
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