Pakistan plans to issue yuan-denominated bonds this yea to raise $200–250 million from Chinese investors over the next six to nine months as disclosed by Finance Minister Muhammad Aurangzeb revealed during an interview at the Asian Financial Forum in Hong Kong.
The initiative has been undertaken on advisement by China International Capital Corporation and is part of the country’s effort to tap into the Chinese capital markets for the first time.
Pakistan is also focused on meeting the International Monetary Fund’s (IMF) conditions under a $7 billion loan program. Economic indicators have shown signs of stabilization since Pakistan secured the IMF bailout last year. Inflation has eased, interest rates have reached a two-year low, and remittances and currency reserves have increased. The rupee appreciated by 2 percent in 2024, and PSX outperformed Asian markets by a mile. However, Pakistan must meet the tax collection target to secure the next $1 billion.