ISLAMABAD: Pakistan has successfully repaid $1.43 billion in maturing Eurobonds, the State Bank of Pakistan (SBP) confirmed on Wednesday.
According to the SBP, the repayment includes $1.3 billion in principal and the remainder as interest.
Payment was made to the agent bank for distribution to bondholders on the maturity date of April 8, 2026.
Adviser to the Finance Minister, Khurram Shehzad, said the timely repayments will reinforce confidence in the country’s financial management. He described the repayment as a “non-event,” highlighting that such transactions are now handled smoothly due to improved economic fundamentals.
According to the statement, the country’s performance is supported by stable external buffers, enhanced liquidity, and continued macroeconomic stabilization. Authorities also highlighted growing investor confidence and a more disciplined, sustainable debt trajectory.
The seamless execution of these large repayments signals Pakistan’s strengthened capacity to manage its external obligations and reinforces its credibility among international investors and financial institutions.
The update reflects an improving sovereign outlook, with officials stressing that consistent and timely debt servicing is now part of a stable and predictable financial strategy.
Earlier, Federal Minister for Finance and Revenue, Senator Muhammad Aurangzeb, said on Tuesday that arrangements have been finalized to repay debt owed to the United Arab Emirates (UAE).
Pakistan is required to repay more than $3 billion to the UAE following a demand by Emirati authorities.
Speaking to the media in Islamabad, the finance minister expressed satisfaction over the arrangements, stating that Pakistan will fulfill all its commitments regarding timely debt repayments.
The UAE loan has been held in Pakistan’s account as a safe deposit and Pakistan was paying an interest rate of 6 percent on the deposited amount. The arrangement, initially structured on a rollover basis, had allowed the funds to remain within Pakistan’s reserves for a defined period.