Pakistan to refinance short-term external debt to cut rollover risks
Muhammad Aurangzeb told Bloomberg that Pakistan will try to refinance some short-term external debt into longer maturities over two to three years, while keeping total external debt near $100 billion.
Pakistan plans to refinance short-term external obligations into longer maturities over the next two to three years.
Total external debt stands at approximately $100 billion and will remain broadly unchanged as old loans are replaced rather than expanded.
The finance ministry is preparing dollar-settled rupee bonds, Islamic Sukuk issues, Panda bond requests, and Eurobond tokenisation.
The government is not rushing to float sovereign bonds on international capital markets this fiscal year as immediate financing needs are covered.