ISLAMABAD: Pakistan has raised $1 billion with a 7-year sukuk, offering an interest rate of 7.95 percent, the highest return the South Asian nation has ever paid on an Islamic bond, a finance ministry official said on Tuesday.
The issuance comes at a time when Pakistan’s gross foreign reserves have fallen to nearly $17 billion from $19 billion in the past two weeks due to debt repayments.
Ministry spokesman Muzammil Aslam said international debt markets worldwide had suffered shocks since December due to expected increases in interest rates in the United States and Europe.
“So given the situation, we have got the good deal in this uncertain time,” he told Reuters.
Pakistan sees foreign funds inflows as critical given that its external account deficit has widened on back of soaring global commodity prices — in particular oil, which makes up about a third of the country’s payments.
Foreign exchange reserves are also a key buffer to stabilize the rupee. Pakistan only last year adopted a market-based exchange rate, resulting in a sharp depreciation of the rupee.
An IMF review board is meeting on Jan. 29 to approve a $1 billion tranche of a $6 billion loan signed with Pakistan in 2019.
The last sukuk Pakistan issued was a five-year sukuk in 2017 at a rate of 5.6 percent.
Pakistan raises $1bln, offers highest-ever rate for a sukuk of 7.95%
https://arab.news/5tyqu
Pakistan raises $1bln, offers highest-ever rate for a sukuk of 7.95%
- The issuance comes at a time when Pakistan’s gross foreign reserves have fallen to nearly $17 billion from $19 billion in the past two weeks
- An IMF review board is meeting on Jan. 29 to approve a $1 billion tranche of a $6 billion loan signed with Pakistan in 2019
Pakistan opposition ends protests, PTI forms ‘Imran Khan Release Force’ for jailed ex-PM
- Opposition alliance ends week-long protests over Khan’s health concerns
- Party announces nationwide membership drive for “peaceful” mobilization
ISLAMABAD: A Pakistani opposition alliance on Wednesday called off nationwide sit-ins held over jailed former prime minister Imran Khan’s health, while his Pakistan Tehreek-e-Insaf (PTI) party announced a new mobilization campaign, including the formation of an “Imran Khan Release Force.”
Pakistan has faced months of political confrontation between Khan’s party and the government since his arrest in 2023, with repeated protests, court battles and accusations by PTI that authorities are attempting to sideline its leader from politics, allegations the government denies.
Tensions have intensified in recent weeks after concerns emerged about Khan’s health in prison. Khan’s lawyer told Pakistan’s Supreme Court last week that the ex-cricketer had lost significant vision in his right eye while in custody, while a medical board said the swelling had reduced after treatment and his vision had improved. Since last week, the Tehreek-i-Tahafuz-i-Ayin-i-Pakistan (TTAP) opposition alliance has been holding a days-long sit-in at Parliament House over Khan’s health concerns.
“All sit-ins including the one at parliament have been called off,” Hussain Ahmad Yousafzai, a spokesperson for the alliance, told Arab News.
Separately, Khyber Pakhtunkhwa Chief Minister Muhammad Sohail Afridi told reporters the party was preparing for an organized political movement to demand their leader’s release.
“After continuous violations of court orders, an organized public struggle has now become inevitable,” Afridi said, announcing the creation of an “Imran Khan Release Force,” with membership open to youth across the country.
Afridi said the organization would include PTI’s student, youth, women, minority and professional wings and would conduct a “completely peaceful struggle,” adding that Khan himself would dissolve the body after his release.
He said membership cards would be issued within days and supporters would take oath in Peshawar after Eid, with a formal chain of command operating under leadership designated by Khan.
“This struggle is for real freedom, supremacy of the constitution and law, democracy and free media,” Afridi said.
Imran Khan, 73, a former cricket star who served as prime minister from 2018 to 2022, was removed from office in a parliamentary vote of no confidence that he says was orchestrated by political rivals with backing from the military. Both the government and armed forces deny the allegation.
Khan has been jailed since August 2023 after convictions he and his Pakistan Tehreek-e-Insaf party call politically motivated.
Broadcast outlets have been restricted from airing Khan’s name and speeches or even showing his image. Only a single court photograph has been publicly available since his imprisonment.
PTI swept to power in 2018 and retains a large support base across key provinces.
