Retiring the $500 million Eurobond: Dar directs EAD to ensure payments

Finance Minister Senator Ishaq Dar on Sunday directed Economic Affairs Division (EAD) to ensure timely payments for retiring the $500 million Eurobond floated in 2006. The bond was issued during the Pervaiz Musharraf/Shaukat Aziz led regime and carried an interest rate of over 7 percent. The bond it may be added is maturing and due for payment by 31st March 2016.
The Minister has asked the EAD to pass necessary instructions to the State Bank of Pakistan for making the payments on the due date. The retiring of the euro bond liability will also result in the reduction in the country''s external debt stock by US $500 million.