Pakistan is set to issue its first-ever Panda bonds

Panda Bonds: Pakistan is set to issue its first-ever Panda bonds, aiming to raise $250 million before December. The yuan-denominated debt is intended to diversify the country’s funding sources.

In order to access the Chinese market, Pakistan will issue $300 million Panda Bonds this year, according to Finance Minister Muhammad Aurangzeb.

He said in a Bloomberg interview that Panda bonds are accessible to Chinese investors and that China has the second-largest bond market globally.

According to the Minister, bonds with an initial value of $250 million to $300 million will be issued, with the number of Panda bonds being increased later.

According to him, the government has sufficient cash in hand to make its debt payments on schedule. According to him, the nation is moving toward economic stability.

Muhammad Aurangzeb clarified that there is no chance the payments will strain the value of the currency. He conveyed his optimism that the Pakistani rupee will, ideally, stay steady.

According to the Finance Minister, Pakistan would pursue an IMF program that lasts for at least three years. He said he was certain that the growth rate would improve in the upcoming fiscal year.