Advisor to the Finance Minister, Khurram Shehzad, announced on social media platform X that Pakistan has successfully repaid its $500 million Eurobond, which matured on September 30, 2025. He emphasized that the repayment was made on schedule, reflecting the country’s commitment to meeting all its financial obligations.
The bond had originally been issued in 2015 to international investors with a 10-year maturity. The timely repayment, according to Shehzad, demonstrates Pakistan’s financial discipline and commitment to responsible debt management.
He further noted that the repayment came at a time when Pakistan’s reserves and liquidity had improved, international institutions had upgraded the country’s sovereign rating, investor confidence was strengthening, and Pakistani bonds were trading at a premium in recent history.
Shehzad highlighted that Pakistan’s debt-to-GDP ratio had declined from 77% in FY2020 to 70% in FY2025, while the share of external debt in total public debt fell from 38% to 32% over the same period.
Meanwhile, the growth rate of the country’s debt slowed significantly in FY2025 compared to previous years. Looking ahead, he said that lower global borrowing costs and stronger economic fundamentals would allow Pakistan greater access to international markets on more competitive terms, paving the way for a more sustainable debt profile.
