Pakistan to Issue Panda Bond in China by June: Finance Minister

Through Panda Bond, Pakistan intends to raise approximately $200 million from Chinese investors.

Sun Jan 19 2025
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ISLAMABAD: Pakistan’s Finance Minister Muhammad Aurangzeb said on Sunday that the country plans to issue Panda Bond in China by June 2025 to enhance the country’s presence in China’s capital markets and raise approximately $200 million from Chinese investors.

In an interview with Hong Kong’s TVB News Channel, the finance minister said that this initiative is part of a broader strategy to drive Pakistan’s economic transformation toward export-led growth and ensure sustainability in the country’s balance of payments.

The minister also underscored the critical importance of the second phase of the China-Pakistan Economic Corridor (CPEC).

panda bond

The China-Pakistan Economic Corridor (CPEC) is a multi-billion-dollar initiative linking China and Pakistan through an extensive network of highways, railways, and pipelines. In December 2024, Pakistan announced a renewed commitment from both nations to advancing the CPEC project with a revitalised focus.

Muhammad Aurangzeb said that the second phase of the CPEC would attract more Chinese companies and also open avenues for enhanced investments. He also extended an invitation to Hong Kong to send delegations to explore trade and financial opportunities in Pakistan.

The Finance Minister viewed that Hong Kong could serve as a strategic hub for joint ventures between Chinese and Pakistani companies.

The minister was in Hong Kong to attend a two-day Asian Financial Forum.  Last week, Pakistan’s foreign ministry announced that the second phase of the CPEC project would prioritise industrialisation and the development of Special Economic Zones (SEZs), alongside initiatives in clean energy, agriculture, and livelihood improvement projects.

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