Pakistan’s Ministry of Finance has invited bids from international financial institutions to act as underwriters, lead managers and bookrunners for future capital market transactions over the next three years. According to a report by Dawn, the ministry is seeking proposals for three separate consortia to manage different funding instruments, including Eurobonds, international Sukuk and Pakistan rupee-denominated bonds settled in US dollars. Under the plan, the government will renew its Global Medium-Term Note Programme and Sukuk Trust Certificate Issuance Programme for another three years to support a range of international issuances.
These may include Eurobonds such as environmental, social and governance bonds, green bonds, gender bonds, sustainable bonds and sustainability-linked instruments, as well as Sukuk and local currency bonds settled in dollars. This move comes a day after raising $750 million through a Eurobond at 6.975% for three years. Officials said the selection will be based on the lowest yield, coupon and overall cost, enabling the government to access international markets as needed in line with external financing requirements.
The Eurobond issuance, arranged by a consortium led by Standard Chartered Bank, was upsized to $750 million and is set to mature in April 2029, with proceeds partly aimed at refinancing obligations to the United Arab Emirates. An adviser to the finance minister said the latest request for proposals reflects a structured approach to external financing, with underwriters being selected in advance, while actual market entry will depend on funding needs and market conditions. The timing and size of each issuance will be determined later, based on investor demand and advice from selected transaction managers.
According to the plan, the first consortium will include up to five conventional international financial institutions responsible for Eurobond issuances, covering structuring, pricing, underwriting, syndication and investor outreach. The second consortium will include up to five institutions, including at least one Islamic financial institution, to handle international Sukuk transactions. A third consortium of up to three institutions will manage Pakistan rupee-denominated bonds settled in US dollars under the Global Medium-Term Note Programme.
Selected institutions will be responsible for end-to-end execution, including roadshows, book building, allocation and ensuring broad investor participation. Interested institutions have been asked to submit technical and financial proposals for each category, with the deadline for submission set for May 25, when bids will also be opened.