Pakistan reimburses $ 500 million euros in time, meets all obligations

Pakistan has succeeded in reimbursing its international bonds of $ 500 million (Eurobond) which matured on September 30, 2025, in accordance with all its obligations.

The adviser of the Minister of Finance, Khurram Schehzad, announced Wednesday X Wednesday that the Eurobond, issued in 2015 to world investors with a 10 -year tenor, was settled in time.

“This reimbursement reflects the capacity and determination of Pakistan to honor its international obligations,” said Schehzad. “What makes it even more important is that it occurs at a time of improving fundamentals and feelings of investors.”

The announcement comes in the context of recent gains from economic indicators in Pakistan. The external stamps and liquidity have strengthened, the sovereign ratings have been improved and the confidence of investors has resumed – with the obligations of Pakistan negotiating to a bonus in recent months.

Read: Sparks Eurobond rally rating rating

Debt durability measures have also improved. The Pakistan GDP ratio increased from 77% during the 2010 to 70% fiscal year during the 2010 financial year. The share of external debt in total public debt increased from 38 PC to 32PC, reducing exchange vulnerabilities. Debt growth was also strongly modeled during the 2010 financial year compared to previous years.

For the future, Pakistan is better placed to enter the international markets. “Global E-work insurance, associated with stronger fundamentals, gives the Pakistan room to access capital to more competitive conditions and to strengthen a more sustainable debt profile,” added Schehzad.

Pakistan’s international obligations have been on an ascending trajectory in recent months, helped by improving macroeconomic fundamentals. After the upgrading of Standard & Poor on the sovereign credit rating of Pakistan at “B-” with a stable perspective in July 2025, the obligations through the yield curve experienced strong gains, with longer instruments rallying strongly. The 30 -year obligation which matures in 2051 increased by more than 10% on the date of one month, while shorter deadlines, including 2025 and 2026 bonds, have also increased.

Investors’ confidence remained resilient even during periods of geopolitical tension. In May 2025, the prices of Pakistan Eurobond and Sukuk displayed notable gains despite Indo-Pak climbing, because the yields decreased up to 61 bases between the tenors. Analysts have attributed this to the progress of the IMF program, improved foreign reserves and controlled inflation, which reduced the risk of defect and attracted global investors.

Find out more: Global Bonds gathers despite Indo-Pak climbing

The momentum on the global debt markets has been built since 2023. The international obligations of Pakistan have more than doubled after obtaining a bailout of the IMF of $ 3 billion in June 2023, investors expressing renewed confidence in the reforms and the government’s ability to serve its debt. Analysts noted that the net rally in Eurobon and Sukuks was fired by budgetary consolidation, improvements in the current account and the stability of exchange rates.

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