ISLAMABAD: The Pakistani government has once again delayed the issuance of $250 million worth of Panda bonds that were scheduled for February, citing incomplete preparations within the Ministry of Finance, according to sources speaking to ProPakistani.
Officials said the bonds were originally planned for release in the first week of February, but internal procedural delays prevented the launch. While the ministry remains hopeful that the issuance will take place next month, no definitive date has been set.
This is the fourth time the Panda bond issuance has been rescheduled during the current fiscal year. The delay comes amid growing external repayment pressures on Pakistan, including a $1.2 billion Eurobond due in April 2026. The government is currently arranging financing to meet this obligation on time.
The planned Panda bonds—denominated in Chinese yuan—will mark Pakistan’s first entry into China’s interbank bond market. The bonds are expected to have a three-year maturity period and carry a fixed interest rate likely to remain in single digits.
To boost investor confidence, the Asian Development Bank (ADB) and the Asian Infrastructure Investment Bank (AIIB) are expected to provide guarantees covering up to 95 percent of the issuance.
Officials believe that a successful launch would help Pakistan diversify its funding sources and deepen its engagement with China’s financial markets.
