Pakistan launches first domestic Green Sukuk bond

Karachi: Federal Finance Minister Muhammad Aurangzeb has announced the launch of Pakistan’s first domestic Sukuk bond, saying this move has increased the total volume of Islamic financing by 14 percent.

Speaking via video link at the launch ceremony of the Green Sukuk Bond at the Pakistan Stock Exchange, Aurangzeb said that Pakistan is celebrating the Day of Gratitude with great enthusiasm, and the Pakistan Stock Exchange (PSX) has reached a historic high, reflecting growing economic stability and increasing confidence from foreign investors.

Referring to his recent meetings with investors in Washington and London, the Finance Minister noted that the international community is satisfied with Pakistan’s macroeconomic stability.

He added that global investors expect Pakistan to continue its recent policy measures, which include broadening the tax base, reforms in the energy sector, rightsizing of institutions, and progress within state-owned enterprises.

The Finance Minister said that work on the budget is ongoing, and consultations are being held with stakeholders, who are presenting their budget proposals.

He further emphasised the need for adopting Malaysia’s model and highlighted that climate change has become a serious threat to Pakistan. Efforts are underway to secure financing for addressing the environmental impacts.

While addressing the ceremony, Federal Advisor on Finance, Khurram Shehzad, remarked that environmental issues and population growth are among Pakistan’s most pressing challenges. He mentioned that today, Green Sukuk is being introduced to address environmental concerns, and the launch of the Panda Bond will also take place soon.