Pakistan raises $3bn through Eurobond sale

Business Recorder reported that Pakistan completed a $3 billion Eurobond offering in two parts, with the finance ministry announcing the result on Thursday. The offering drew nearly $6 billion in orders, roughly double the size of the issue, from institutional investors spread across world markets. Officials called it the largest international bond issuance by the country in a single transaction.

The first portion totalled $1.75 billion with a 5.5-year maturity and a 7.5% coupon, while the second was $1.25 billion carrying a 7.9% coupon over 10 years. The ministry said the sale shows Pakistan can tap global funding markets at significant scale.

The finance ministry described the deal as the first issuance under a renewed Global Medium-Term Note programme, following an inaugural Panda Bond and better sovereign credit ratings. It said the wider aim is active sovereign liability management, including extending maturities and reducing refinancing risks. The ministry also credited the Debt Management Office and five joint bookrunners, Citi, Deutsche Bank, Emirates NBD, MUFG and Standard Chartered, for executing the deal. The ministry also noted that successive rating upgrades in the last three years have helped the country return to global debt markets.