ISLAMABAD: The Ministry of Finance has signed a USD 1,000 million syndicated term finance facility, backed partially by a Policy-Based Guarantee from the Asian Development Bank (ADB) under its โImproved Resource Mobilization & Utilisation Reformโ program.
This major transaction is structured as a 5-year multi-tranche facility, comprising both Islamic and conventional tranches.
Key Institutions Behind the Deal
Dubai Islamic Bank acted as the Sole Islamic Global Coordinator, while Standard Chartered Bank served as the Mandated Lead Arranger and Bookrunner.
Additional financiers include Abu Dhabi Islamic Bank (Mandated Lead Arranger), and Sharjah Islamic Bank, Ajman Bank, and Habib Bank Limited (HBL) as Arrangers.
The Islamic tranche, compliant with AAOIFI standards, makes up 89% of the financing โ demonstrating Pakistanโs growing appeal to Shariah-compliant financial institutions. The remaining 11% is from conventional lenders.
Strengthening Fiscal Stability
This is the first-ever facility supported by ADBโs Policy-Based Guarantee, tied directly to policy reform commitments from Pakistan.
The transaction marks Pakistanโs re-entry into international commercial markets after over two years, with a strong response from Middle Eastern financial institutions.
The Government of Pakistan views this deal as a reflection of renewed market trust in the countryโs macroeconomic recovery and fiscal discipline.
Officials noted that the successful closing of this deal also opens the door to long-term partnerships between Pakistan and Middle Eastern banking institutions.
