Govt eyes Panda bonds as Dubai Islamic Bank closes $1bn loan deal

In a renewed push to diversify funding sources and tap into China’s vast capital market, a Ministry of Finance team is holding high-level meetings in Beijing this week to attract investment for Pakistan’s debut Panda Bond issuance. The outreach comes as Dubai Islamic Bank (DIB) has successfully arranged a $1bn syndicated loan for Pakistan, partially backed by the Asian Development Bank — the first such guarantee-based facility for the country. Khurram Schehzad, adviser to the finance minister, said in a post on X on Wednesday that the MoF team had engaged in technical discussions with prospective investors, underwriters, guarantors, a Chinese rating agency, and legal advisers. The meetings, which began on July 7, will continue until July 11 as part of a non-deal roadshow (NDR) ahead of Pakistan’s debut Panda Bond issue.