Aurangzeb says govt pursuing diversified capital markets strategy

ISLAMABAD: Finance Minister Muhammad Aurangzeb said on Tuesday that the government was moving ahead with a diversified capital markets strategy aimed at reinforcing external buffers and securing sustainable financing.

The remarks were made during a meeting with European Union Ambassador to Pakistan Raimundas Karoblis, according to a statement shared by the finance ministry on X.

The ministry said Aurangzeb pointed to Pakistan’s gradual return to macroeconomic stability and its renewed access to international capital markets, while highlighting growing investor confidence and the government’s commitment to a structured and forward-looking economic reform agenda.

According to the ministry, the finance minister said Pakistan had recently returned to international capital markets after a four-year gap through a privately placed Eurobond transaction that drew strong investor interest and was later upsized.

The ministry said Aurangzeb described the development as a sign of improving economic fundamentals and a positive direction for Pakistan’s integration with global financial markets.

"This milestone reflects improving economic fundamentals and signals a positive trajectory for Pakistan’s global financial integration," it stated and added that the minister said the government was also working on a broader capital markets plan that would include future international issuances and innovative financing tools.

"The government is actively pursuing a diversified capital markets strategy, including future international issuances and innovative financing instruments, aimed at strengthening external buffers and ensuring sustainable financing."

EU-Pakistan business forum

The finance ministry said Ambassador Karoblis invited Aurangzeb to attend the high-level EU-Pakistan Business Forum scheduled for April 28 in Islamabad, and the minister accepted the invitation.

According to the ministry, Aurangzeb is expected to deliver the keynote address at the opening plenary session on the theme Pakistan Rising: Incentives, Reforms, and the Next Investment Frontier.

The minister also appreciated the EU’s efforts to bring together a large number of international and domestic business representatives, saying such initiatives offered an important opportunity to present Pakistan’s improving business environment and investment potential, while encouraging business-to-business engagement.

The ministry said Aurangzeb also referred to the government’s wider efforts to preserve macroeconomic stability, build foreign exchange reserves, and push ahead with structural reforms in support of sustainable and inclusive growth.

He acknowledged the support of key bilateral partners in strengthening economic resilience and stressed the importance of continued international cooperation in that process.

According to the ministry, the finance minister expressed optimism about Pakistan’s external sector outlook and reiterated the government’s focus on improving competitiveness, increasing investment inflows, and expanding trade opportunities.

In this context, the ministry said, he also expressed hope for continued progress under the GSP+ framework, describing it as an important pillar of Pakistan-European Union economic ties.

The meeting ended with a shared commitment to further deepen Pakistan-EU economic relations and promote greater trade, investment and business cooperation, the ministry said.

The meeting took place a day after the government announced that it had raised its Eurobond size to $750 million by exercising the greenshoe option, as the country sought to strengthen foreign exchange reserves to meet a higher oil import bill after US-Israel attacks on Iran pushed up prices because of supply disruptions.