Aurangzeb makes strong rating upgrade case to S&P Global

April 18, 2026 (MLN): Pakistan has made a strong case for a sovereign rating upgrade, with the Finance Minister briefing S&P Global Ratings on the successful conclusion of a Staff-Level Agreement with the IMF, timely repayment of $1.4 billion on its Eurobond, additional financial support from Saudi Arabia, and Pakistan's return to international capital markets with a Eurobond priced at just under 7% reflecting renewed investor confidence in the country's macroeconomic trajectory.

Federal Minister for Finance and Revenue, Senator Muhammad Aurangzeb, held a meeting with representatives of S&P Global Ratings on the sidelines of the World Bank–IMF Spring Meetings 2026 in Washington, D.C, according to a press release issued.

The Finance Minister highlighted additional financial support secured from the Kingdom of Saudi Arabia, including a $3 billion facility and the extension of an existing $5 billion deposit from an annual rollover to a three-year term through 2028, further strengthening Pakistan's external position.

Senator Aurangzeb outlined Pakistan's medium-term Global Medium Term Note strategy, envisaging diversified issuances across Eurobonds, Sukuk, and rupee-linked dollar-settled bonds, aimed at broadening the investor base and mitigating foreign exchange risks.

He also briefed S&P Global on progress towards Pakistan's inaugural Panda Bond issuance, noting that regulatory submissions have been made and approval from NAFMII is awaited.

On the regional situation, the Finance Minister highlighted the government's focus on managing the immediate economic impact through measures to secure energy supply chains, optimize pricing and logistics, and provide targeted digital subsidies to vulnerable segments of the population.

Concluding the meeting, Senator Aurangzeb expressed confidence that Pakistan's improved macroeconomic fundamentals and continued reform momentum present a strong case for a rating upgrade.

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