Finance Minister Hammad Azhar has said that global investors have shown ‘great confidence' in Pakistan’s economy after the country launched a three-tranche bond deal to raise $2.5 billion on Tuesday.

“Pakistan has very successfully concluded its first-ever 3-tranche capital market transaction yesterday. With 5, 10, and 30 year Eurobonds at 6%, 7.375%, and 8.875%, leading global investors showed great confidence in our country's economy and future outlook,” said Azhar in a tweet post on Wednesday.

Pakistan launched a three-tranche bond deal on Tuesday to raise $2.5 billion comprising tranches of five, 10, and 30 years for which it received over $5.3 billion in combined orders, a document showed, in its first international bond sale since late 2017.

Pakistan sold $1 billion in five-year bonds at 6%, $1 billion in 10-year paper at 7.375% and $500 million in 30-year notes at 8.875%, the document from one of the banks on the deal showed.

Initial guidance on Tuesday was around 6.25% for the five-year portion, around 7.5% for the 10-year tranche, and between 8.875% and 9% for the 30-year paper.

Cash-strapped Pakistan has been in dire need of funds after its economy contracted after being hard hit by the COVID-19 pandemic.