Pakistan has selected consortiums of leading international financial institutions to manage its Global Medium-Term Note (GMTN) and International Sukuk programs as part of its strategy to diversify external financing sources and strengthen long-term access to global capital markets.
The Ministry of Finance announced the appointments on Tuesday following a competitive selection process. The mandates will remain in place for three years and are designed to support Pakistan’s future sovereign borrowing through conventional and Shariah-compliant debt instruments.
The selected financial institutions will advise the government on international debt issuances, including Eurobonds, international sukuks, and Pakistani rupee-denominated, US dollar-settled bonds, providing Pakistan with greater flexibility to raise funds from global investors when required.
Finance Minister Launches Strategic Partnership With Global Banks
While on an official visit to Washington, D.C., Finance Minister Muhammad Aurangzeb held a virtual meeting with senior executives of the selected institutions to formally launch the strategic partnership and outline the government’s long-term financing strategy.
Banks Selected For Eurobond And Sukuk Programs
For future Eurobond issuances, the government appointed Standard Chartered Bank, Citibank, Deutsche Bank, Emirates NBD Capital, and MUFG Securities Asia Limited as its international banking partners.
For International Sukuk transactions, Pakistan selected a consortium comprising Standard Chartered Bank, Dubai Islamic Bank PJSC, Citibank, Emirates NBD Capital, and Mashreq Bank PSC to structure and arrange future Shariah-compliant sovereign debt offerings.
Meanwhile, Standard Chartered Bank, Citibank, and Deutsche Bank were appointed to support the issuance of Pakistani rupee-denominated, US dollar-settled bonds, an instrument aimed at attracting international investors while reducing foreign exchange risks associated with conventional external borrowing.
Three-Year Mandate To Strengthen Capital Market Access
According to the Ministry of Finance, the appointments are intended to establish a long-term financing platform rather than facilitate a single fundraising transaction. The framework will enable Pakistan to access international debt markets whenever financing requirements arise, subject to market conditions, regulatory approvals, and completion of the necessary documentation.
Officials said the arrangement would provide continuity in Pakistan’s engagement with global investors and improve the efficiency of future sovereign debt issuances.
The ministry noted that the inclusion of MUFG Securities Asia Limited and Mashreq Bank PSC broadens Pakistan’s relationships with international financial institutions and expands its outreach to a wider range of investors across Asia, the Middle East, Europe, and other global financial markets.
The government believes this expanded network of financial partners will help strengthen Pakistan’s visibility among international investors and improve access to diversified sources of external financing.
Government Sees Improving Investor Confidence
According to the Finance Ministry, Pakistan’s improving macroeconomic environment has contributed to stronger investor confidence in recent months. Officials cited fiscal consolidation, rising foreign exchange reserves, improving debt sustainability indicators, and continued implementation of structural economic reforms as key factors supporting the country’s financial outlook.
The ministry also highlighted the recent narrowing of Pakistan’s sovereign credit spreads, describing it as an indication that international investors are becoming more confident about the country’s economic stability and medium-term growth prospects.
Through the new financing framework, the government aims to establish a more diversified, market-based borrowing strategy that broadens its investor base, lowers borrowing costs over time, and strengthens Pakistan’s long-term presence in international capital markets.
The initiative also supports the government’s broader objective of reducing dependence on short-term financing while creating sustainable funding channels for future development and budgetary requirements.
Finance Minister Discusses Refinery Investment With Honeywell
In a separate engagement during his visit to Washington, Finance Minister Muhammad Aurangzeb met a delegation from Honeywell Technologies, led by Vice President and General Manager Barry Glickman, to discuss investment opportunities in Pakistan’s energy sector.
The discussions focused on modernising and expanding Pakistan’s domestic refinery infrastructure through the adoption of Honeywell’s advanced refining technologies and engineering solutions.
According to the Finance Ministry, both sides explored opportunities to upgrade existing refineries, improve operational efficiency, and increase domestic production of refined petroleum products.
The meeting also covered potential financing options for refinery projects, including support from the U.S. Export-Import Bank (EXIM), the U.S. International Development Finance Corporation (DFC), export credit agencies, and international commercial banks.
Muhammad Aurangzeb said modernising Pakistan’s refining sector would play an important role in increasing domestic refining capacity, reducing reliance on imported petroleum products, strengthening the country’s energy security, and supporting industrial development.
Long-Term Financing And Energy Investment Strategy
He added that investments in refinery infrastructure would contribute to long-term economic growth by improving energy efficiency, enhancing value addition within the petroleum sector, and creating new opportunities for private sector investment.