ISLAMABAD, DEC 30 – Federal Minister for Finance and Revenue, Senator Muhammad Aurangzeb, has said that Pakistan is preparing for the inaugural issuance of a Panda Bond in the Chinese capital market, marking a significant milestone in deepening financial and economic ties between Pakistan and China.
Speaking in an interview with China Global Television Network (CGTN), the Finance Minister emphasized that the move reflects the growing strength, maturity and diversification of bilateral relations, which continue to evolve from infrastructure-led cooperation to a broad-based, market-driven economic partnership.
Highlighting China’s position as Pakistan’s largest trading partner, with bilateral trade nearing USD 17 billion in the first eight months of the year, Senator Aurangzeb underscored that the relationship between the two countries has consistently moved “from strength to strength” over the decades. He noted that China has stood firmly with Pakistan at international fora and has played a pivotal role in Pakistan’s economic development, particularly through the China-Pakistan Economic Corridor (CPEC), which remains the flagship project of the Belt and Road Initiative.
The Finance Minister explained that while CPEC Phase-I focused on building critical infrastructure including roads, ports, airports and energy projects, CPEC Phase-II has now been formally launched following high-level engagements with President Xi Jinping and Premier Li Qiang earlier this year. He said the new phase is centered on monetizing existing infrastructure and is increasingly driven by business-to-business (B2B) cooperation, reflecting a shift toward sustainable, private-sector-led growth.
Responding to questions on Pakistan’s economic priorities, Senator Aurangzeb identified agriculture, minerals and mining, artificial intelligence and the digital economy as key areas attracting Chinese investment. He emphasized that beyond capital flows, this phase of cooperation places strong emphasis on knowledge transfer and technical support.
As an example, he noted that thousands of Pakistani agriculture graduates have already been enrolled in Chinese universities to learn best practices, which will help modernize Pakistan’s agriculture sector and enhance productivity.
Similarly, he highlighted the role of leading Chinese technology firms, including Huawei, in training thousands of Pakistani IT graduates, describing these initiatives as potential game changers for Pakistan’s digital transformation.
Addressing the impact of global uncertainty, geopolitical tensions and rising protectionism, the Finance Minister said Pakistan’s approach remains anchored in strengthening its long-standing partnership with China.
He noted that China’s support has extended beyond trade and investment to include assistance during critical economic phases, including support linked to Pakistan’s IMF program and broader financing needs. In this context, Senator Aurangzeb announced that Pakistan is hopeful of launching its first-ever Panda Bond ahead of the Chinese New Year, calling it a landmark development in Pakistan’s external financing strategy.
