Pakistan Prepares $1.3 Billion Eurobond Payment as IMF Talks Near

Islamabad, February 18, 2026 – Pakistan is gearing up to repay $1.3 billion in principal and interest on a maturing Eurobond in April 2026, as discussions with the International Monetary Fund (IMF) draw closer under the country’s $7 billion reform programme.

The IMF review mission is scheduled to arrive in Karachi later this month and will move to Islamabad around March 2, 2026, for key talks on fiscal reforms, external financing, and progress on structural benchmarks agreed under the Extended Fund Facility (EFF).

Officials revealed that the Ministry of Finance plans to launch Panda bonds after the Chinese holidays to raise the first tranche of $250 million. Early indications suggest strong investor interest and potential oversubscription for the bond issuance.

Earlier, the government repaid a $700 million Chinese commercial loan ahead of schedule to demonstrate its repayment capacity. Chinese banks have reportedly assured refinancing within the current fiscal year. Pakistan is also negotiating with international commercial banks to secure an additional $500 million in new financing during this fiscal cycle.

The government’s Eurobond payment and ongoing negotiations with the IMF are being closely watched by international investors as indicators of Pakistan’s financial stability and creditworthiness.