Pakistan’s Finance Minister Muhammad Aurangzeb met with UAE-based commercial banks during the World Bank-IMF annual meetings in Bangkok to discuss sukuk issuance, investment opportunities, and reduced borrowing costs. The Finance Division confirmed the talks, which aim to help Pakistan consolidate its foreign exchange reserves. The country successfully returned to international capital markets this year with a $750 million Eurobond and its first $250 million sukuk issuance.
The discussions focused on improving access to international capital markets and lowering borrowing costs for Pakistan. The government is seeking to stabilize its financial position amid rising inflation and currency depreciation. The sukuk issuance is part of broader efforts to attract foreign investment and manage the country’s debt burden.
This follows Pakistan’s recent efforts to stabilize its economy, including measures to control inflation and support the currency. The government has been working with international financial institutions to secure funding and improve economic stability. The meeting with UAE banks marks a continued push to diversify funding sources and reduce reliance on traditional borrowing methods.
The sukuk issuance and investment discussions come amid rising domestic pressures, including inflation and food price increases. While the government has not yet announced specific figures for the upcoming sukuk offering, the talks signal a strategic move to strengthen financial ties with regional partners. The outcome of these discussions could influence Pakistan’s economic policy in the coming months.
