ISLAMABAD:
Pakistan has successfully repaid a $500 million Eurobond that matured on September 30, 2025, in line with all its obligations, announced Adviser to Finance Minister Khurram Schehzad on Wednesday.
The international bond, issued in 2015 to global investors with a 10-year tenor, was settled on schedule, reflecting the country’s commitment to financial discipline, the adviser wrote on X.
He said the timely debt servicing comes at a time when external buffers and liquidity have strengthened, sovereign ratings have been upgraded and investor confidence is improving, with Pakistan’s bonds recently trading at a premium.
He noted that the debt-to-GDP ratio had improved from 77% in FY20 to 70% in FY25, while the share of external debt in total public debt declined from 38% to 32% during the same period, reducing foreign exchange vulnerability. Debt growth also moderated sharply in FY25 compared to earlier years, Schehzad added.
Looking ahead, easing global borrowing costs alongside stronger fundamentals position Pakistan to access markets on more competitive terms and build a more sustainable debt profile, he added.
The repayment, he emphasised, was a steady step forward – completed as expected – backed by stronger fundamentals, improved investor sentiment and a more resilient outlook.