Federal Finance Minister Muhammad Aurangzeb has assured that Pakistan will meet all its external payment obligations on time, including repayments of UAE loans and Eurobonds, while moving ahead with plans to raise fresh financing through Panda Bonds.
In an informal conversation with the media, Aurangzeb said that arrangements have already been made for the repayment of UAE-related obligations and Eurobonds.
He emphasized that all commitments regarding Pakistan’s external payments will be fulfilled on schedule, signaling confidence in the country’s financial management.
The finance minister stated that foreign exchange reserves will be kept stable and aligned with targets set under the International Monetary Fund (IMF) program. He added that IMF-backed policies have helped steer Pakistan’s economy in the right direction, providing a framework for stability.
Govt preparing for new financing avenues
Aurangzeb revealed that preparations are underway for commercial financing and the issuance of bonds to meet fiscal needs.
Talks are currently ongoing with a consortium of banks to secure commercial financing, reflecting efforts to diversify funding sources.
Panda Bonds for first time
The government is also resuming preparations to issue Panda Bonds starting from the end of April. Aurangzeb said Pakistan plans to raise a total of $1 billion through Panda Bonds, marking the country’s first-ever issuance in the Chinese market.
He noted that since Pakistan is issuing Panda Bonds for the first time, the process is taking additional time.
The minister expressed confidence that all financing targets set for the current fiscal year will be achieved as committed. He reiterated that the government remains focused on maintaining fiscal discipline while securing necessary funding.
Regional tensions under review
Aurangzeb acknowledged that the government is closely assessing the economic impact of rising regional tensions. He stressed the need to formulate policies keeping in view the evolving situation to safeguard economic stability.
Looking ahead, the finance minister said that important economic decisions and budget preparations will be finalized in the coming days. These steps, he noted, will play a crucial role in sustaining economic momentum and meeting international commitments.
