HBL has announced that it acted as Financial Advisor in connection with the successful issuance of the inaugural Panda Bond of the Government of Pakistan, marking the country’s debut in China’s domestic bond market.
The inaugural Panda Bond, structured as a Sustainable Development Bond, is aimed at financing National Priority Projects with significant economic, social, and environmental impact. The issuance raised RMB 1.75 billion and attracted investor demand exceeding RMB 8.8 billion, resulting in an oversubscription of more than five times. The bond was priced at a competitive coupon rate of 2.5%.
The landmark issuance coincides with the 75th anniversary of diplomatic relations between Pakistan and China, underscoring the strengthening financial and economic ties between the two nations.
An issuance ceremony was held at the Pakistan Embassy in Beijing and attended by Muhammad Aurangzeb, Pakistan’s Ambassador to China Khalil Hashmi, Farhan Talib, and Wei Cheng, alongside senior government officials and representatives from participating institutions.
According to HBL, investor appetite for the issuance surpassed the currently announced Panda Bond programme size of RMB 7.2 billion, reflecting strong confidence in Pakistan’s entry into the Chinese capital market.
HBL highlighted that it is the first and only Pakistani bank to operate a branch in China and one of only three banks from the South Asia and MENA region offering end-to-end RMB intermediation services in China. The bank established its Representative Office in Beijing in 2005 and has since expanded its presence to support regional trade and promote RMB-based business activities.
