Pakistan secures record Rs659.6bn in debt settlement: Minister
STRENGTHENING CAPITAL MARKETS AND ECONOMIC REFORMS
PSMU Exclusive:
ISLAMABAD: In a significant milestone for Pakistan’s financial landscape, Federal Minister for Power, Sardar Awais Ahmed Khan Leghari, announced the successful completion of a historic PKR 659.6 billion debt settlement.
The groundbreaking transaction includes the redemption of PKR 399.6 billion in Pakistan Energy Sukuk (PES) I & II through off-market transactions executed via the National Debt Market (NDM), marking the largest-ever debt market operation in the country’s history.
Federal Minister shared this update via his official Twitter handle.
Additionally, the transaction involved the settlement of PKR 259.7 billion in various syndicated financing facilities, further underscoring Pakistan’s robust capacity to handle large-scale strategic financial operations. This monumental deal is a cornerstone of the government’s ongoing efforts to tackle circular debt, forming part of the PKR 1,225 billion Circular Debt Reduction Plan.
Minister Leghari highlighted that this achievement reflects the growing institutional confidence in Pakistan’s economic reforms and the strength of its capital and Islamic finance ecosystems. The successful execution of this debt settlement signals not only the maturity of Pakistan’s capital markets but also the government’s commitment to long-term fiscal stabilization and structural energy sector reforms.
“The NDM component of this transaction is a true reflection of the strength of our capital market ecosystem, showcasing its ability to manage large-scale financial operations,” said Leghari. He further emphasized the government’s dedication to accelerating reform-driven growth through continued engagement with all stakeholders.
This landmark settlement is expected to have far-reaching positive effects, not only in reducing the circular debt burden but also in enhancing investor confidence and positioning Pakistan’s energy sector for future growth. The government’s efforts in stabilizing the fiscal framework and implementing energy sector reforms promise to pave the way for a more sustainable and prosperous economic future for the country.
