An official ceremony marking Pakistan's first-ever Panda Bond issuance in China was held in Beijing on Friday, a milestone that gives Pakistan access to China's domestic capital market for the first time.
The overall Panda Bond program has been set at one billion U.S. dollars, while the inaugural issuance will amount to 250 million U.S. dollars equivalent.
The issuance is being supported by the Asian Development Bank and the Asian Infrastructure Investment Bank. Representatives from China's Ministry of Finance and the People's Bank of China, the central bank, have also attended the event.
As the internationalization of the Chinese currency continues to advance, more overseas issuers are turning to China's financial markets for funding.
China International Capital Corporation has helped Pakistan successfully issue its first 2026 RMB-denominated bond, raising 1.75 billion yuan (about 256.98 million U.S. dollars). The deal highlights the growing global appeal of China's RMB bond market and further supports the internationalization of the currency.
"Pakistan has issued sovereign RMB sustainable development Panda Bonds, expanding China-Pakistan financial cooperation from project-based collaboration to deeper capital market integration. As a sovereign issuer in China's interbank bond market, Pakistan is able to access Chinese capital through market-driven mechanisms. The bond proceeds will be invested in water resource management, energy security, healthcare, and other key livelihood and infrastructure sectors. This issuance provides a strong example of RMB-denominated direct financing, accelerates RMB internationalization, and supports the high-quality development of the Belt and Road Initiative," said Paul Rui, director of the Investment Banking Department at the China International Capital Corporation.
Pakistan issues its first-ever Panda Bond in China
