Pakistan makes $1.3 billion Eurobond repayment on schedule

Pakistan has completed the repayment of a $1.3 billion Eurobond that matured on April 8, meeting its external debt obligation in full and on time.

In addition to the principal repayment, Pakistan also met $126.13 million in coupon obligations on other Eurobond issuances, bringing total external payments on the day to over $1.43 billion.

The Finance Ministry confirmed the payment had been executed as part of the government's routine external debt management, describing the process as a "non-event" — a term signaling that the repayment was handled without financial strain or market disruption.

Khurram Shahzad, adviser to the Finance Ministry, said the required funds had been arranged and released ahead of the due date, with the payment process fully in place.

He attributed the seamless execution to several underlying factors, including stable external buffers and improved liquidity, continued macroeconomic stabilization, and a more disciplined debt trajectory.

Officials said the repayment reinforces Pakistan's credibility with global investors and international financial institutions, and reflects strengthening investor confidence in the country's fiscal management.

The Eurobond repayment comes as Pakistan continues to operate under an IMF Extended Fund Facility program, which has helped shore up foreign exchange reserves and restore macroeconomic stability following a balance-of-payments crisis in 2023. The country's external debt obligations have remained a key focal point for markets tracking Pakistan's economic recovery.