AIRLINK 170.57 Decreased By ▼ -2.58 (-1.49%)
BOP 11.18 Increased By ▲ 0.53 (4.98%)
CNERGY 8.41 Decreased By ▼ -0.11 (-1.29%)
CPHL 99.73 Increased By ▲ 2.27 (2.33%)
FCCL 46.60 Decreased By ▼ -0.65 (-1.38%)
FFL 15.15 Decreased By ▼ -0.27 (-1.75%)
FLYNG 27.55 Decreased By ▼ -0.58 (-2.06%)
HUBC 137.78 Decreased By ▼ -1.13 (-0.81%)
HUMNL 12.92 Increased By ▲ 0.11 (0.86%)
KEL 4.54 No Change ▼ 0.00 (0%)
KOSM 5.36 Decreased By ▼ -0.19 (-3.42%)
MLCF 62.40 Increased By ▲ 0.14 (0.22%)
OGDC 212.16 Decreased By ▼ -2.59 (-1.21%)
PACE 5.42 Decreased By ▼ -0.13 (-2.34%)
PAEL 47.18 Increased By ▲ 2.32 (5.17%)
PIAHCLA 18.48 Decreased By ▼ -0.22 (-1.18%)
PIBTL 10.36 Decreased By ▼ -0.38 (-3.54%)
POWER 12.33 Increased By ▲ 0.07 (0.57%)
PPL 169.60 Decreased By ▼ -4.27 (-2.46%)
PRL 35.85 Decreased By ▼ -0.37 (-1.02%)
PTC 23.09 Decreased By ▼ -0.47 (-1.99%)
SEARL 96.26 Increased By ▲ 0.95 (1%)
SSGC 39.52 Increased By ▲ 0.39 (1%)
SYM 13.84 Decreased By ▼ -0.18 (-1.28%)
TELE 7.15 Decreased By ▼ -0.08 (-1.11%)
TPLP 10.03 Decreased By ▼ -0.26 (-2.53%)
TRG 63.48 Decreased By ▼ -1.20 (-1.86%)
WAVESAPP 9.99 Decreased By ▼ -0.05 (-0.5%)
WTL 1.31 Decreased By ▼ -0.02 (-1.5%)
YOUW 3.66 Decreased By ▼ -0.04 (-1.08%)
BR100 12,305 Decreased By -186.6 (-1.49%)
BR30 37,415 Decreased By -278.7 (-0.74%)
KSE100 114,853 Decreased By -1335.9 (-1.15%)
KSE30 35,217 Decreased By -533.1 (-1.49%)

KARACHI: Federal Minister for Finance and Revenue, Muhammad Aurangzeb has said that the issuance of Euro Bonds and Panda bonds is depended on an improved credit rating, which will pave the way for Pakistan to access international capital markets.

Talking to media at the inauguration ceremony of the SECP’s Electronic Mortgage Register in Karachi, Minister Finance talked about Pakistan’s economic direction and highlighted the significant steps the government has taken to stabilise the economy, noting that positive results have begun to emerge, and the country’s economic position will continue to strengthen in the coming months.

The finance minister emphasised that the government’s efforts will strengthen Pakistan’s economic position and make the country an attractive market for global investors. “International financial institutions are increasingly confident in Pakistan’s economic potential and friendly countries are also ready to make large-scale investments in the country,” he informed.

He also highlighted the government’s efforts for the issuance of Euro Bonds and Panda Ponds in the international market and said that the government would launch Euro Bonds in the next fiscal year (FY26).

Replying to a question regarding the issuance of Panda Bonds and Euro Bonds, the finance minister said that there is no confusion on this matter, and the government’s efforts are focused on improving Pakistan’s credit rating to gain access to international capital markets.

“When our rating reaches the ‘Single B’ category, we will be able to access the international capital markets to launch the bonds. For this, we have had successful meetings with global credit rating agencies like Fitch, Moody’s, and S&P in Washington,” he informed.

Pakistan is in contact with them rating agencies for the past six month and discussions with rating agencies have contributed to a slight improvement in Pakistan’s credit rating, he added.

The Minister of Finance was hopeful that within the next few months, Pakistan can reach the “Single B’ category, however, he said that rating agencies always look for stability before upgrading ratings.

He also mentioned that while the Panda Bonds process is tied to rating improvements, the government is actively working to access international markets and create an environment conducive to investment in Pakistan.

Aurangzeb said that Pakistan will launch its Euro Bonds when its credit rating reaches the ‘B’ category, which is expected in the coming months. “We are in positive discussions with international rating agencies, and we plan to enter in the Euro and US market in the next fiscal year, while will try to launch Panda Bond during this fiscal year,” he added.

Furthermore, he noted that international financial institutions, including the IMF and World Bank, are collaborating with the government to present Pakistan’s development projects more effectively, in order to secure climate financing. Negotiations with the World Bank and the Asian Development Bank on climate financing are ongoing, he informed.

Copyright Business Recorder, 2024

Comments

Comments are closed.