Pakistan is preparing to launch Panda Bonds worth $1 billion in the Chinese market, a move aimed at boosting the country’s financial reserves and creating more borrowing options.
The plan is to issue these bonds in three phases. The first phase, worth $250 million, will be released this year, while the remaining $750 million will be issued gradually by 2028.
According to the Finance Ministry, this step is part of Pakistan’s broader financial strategy. The goal is to reduce the heavy reliance on short-term borrowing instruments like Treasury Bills (T-Bills) and instead move towards long-term and stable debt structures.
This will not only improve financial management but also bring more predictability to the country’s debt repayments.
Important discussions and agreements on this matter are expected to take place during Prime Minister Shehbaz Sharif’s upcoming visit to China.
He will be joined by the Finance Minister, and both are expected to highlight Pakistan’s economic roadmap while finalizing details related to the Panda Bonds.
Along with this bond initiative, Pakistan has also projected promising economic growth for the coming years. The government estimates that the country’s GDP will grow from Rs. 114 trillion to Rs. 163 trillion by 2028. This reflects an impressive increase of Rs. 48 trillion over the period, showing a strong commitment to economic stability and expansion.
The launch of Panda Bonds, combined with these growth projections, signals Pakistan’s determination to stabilize its economy, strengthen international partnerships, and open new opportunities for sustainable development.
