KARACHI: Pakistan has achieved a key milestone in the development of its sustainable finance market with the listing of the country’s first rupee-denominated green bond on the Pakistan Stock Exchange (PSX), aimed at mobilising private sector capital for climate-aligned investments.
The green bond, issued by Parwaaz Financial Services Limited (PFSL), was developed with technical assistance from the UK government’s MOBILIST programme and is designed to finance projects in renewable energy, clean agriculture and green transportation.
The listing was marked by a gong ceremony attended by senior officials from the Ministry of Finance, Ministry of Climate Change and Environmental Coordination, Securities and Exchange Commission of Pakistan, Karandaaz Pakistan, and the British High Commission Islamabad.
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British High Commissioner Jane Marriott said the United Kingdom was proud to support the development of the PFSL green bond, describing it as an example of how innovative development finance could help local markets mobilise private capital for climate action and sustainable development.
Khurram Schehzad, adviser to the federal finance minister, noted that the Social Impact Framework introduced by the Social Impact Financing Committee in 2024 had created a policy foundation for instruments such as green bonds. He emphasised that public financing alone would not be sufficient to meet Pakistan’s development and climate requirements, underscoring the need to attract private investment into impact-oriented projects.
Chairman of the Karandaaz Pakistan Board, Syed Salim Raza, said the listing reflected the continued evolution of Pakistan’s sustainable finance ecosystem and demonstrated the role of structured market instruments in directing capital towards long-term economic and environmental priorities.
From the capital markets side, PSX Chairman Ruhail Muhammad said the exchange remained committed to supporting innovative financial products that contribute to sustainable economic growth, adding that the green bond listing would strengthen the role of capital markets as an effective channel for climate finance.
Chief Executive Officer of PFSL Javed Iqbal said the bond issuance underscored the role of capital markets in enabling sustainable investments, while offering investors secure returns and liquidity. He added that the proceeds would be directed towards projects capable of generating measurable environmental and economic benefits.
The listing marks the first time a green bond denominated in Pakistani rupees has been offered on the PSX and is expected to pave the way for further climate-linked financial instruments in the domestic capital market.
Copyright Business Recorder, 2026
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