Govt to Launch Rs. 100 Billion PSX Sukuk - ProPakistani
The National Grid Company of Pakistan Limited (NGC) is planning to raise up to Rs. 100 billion through Shariah-compliant Sukuk, with an initial issuance of up to Rs. 20 billion, the Finance Division was informed on Friday.
The proposed program will have a tenor of up to 10 years and will be issued in phases through public offerings listed on the Pakistan Stock Exchange (PSX), subject to regulatory approvals and market conditions.
The plan was discussed at the fourth meeting of the Capital Market Development Council (CMDC), chaired by Finance Minister Muhammad Aurangzeb at the Finance Division.
The finance minister welcomed the proposed issuance, describing it as an opportunity to demonstrate the potential of listed corporate debt instruments and encourage other companies to raise long-term financing through the capital market.
The meeting was informed that corporate debt issuances reached Rs. 291 billion during January-September 2026, following Rs. 326 billion raised throughout 2025.
The amount raised in 2025 was 30 percent higher than in 2024, reflecting growing activity in Pakistan’s corporate debt market.
The market also recorded 12 new listed corporate debt issuances worth Rs. 45.4 billion between February 2025 and September 2026, including Sukuk and other debt instruments.
The council stressed the need to encourage more public offerings and expand access to capital market financing for businesses.
The Securities and Exchange Commission of Pakistan (SECP) and PSX have established dedicated Corporate Debt Market Desks to guide companies interested in raising funds through debt instruments.
A one-window listing mechanism is also operational through SECP and PSX, with simplified procedures and information available online. Work is underway to bring the Central Depository Company (CDC) into the mechanism.
The council also reviewed reforms covering taxation, debt issuance, market infrastructure, investor protection and enforcement.
These measures aim to reduce transaction costs, improve liquidity, simplify listing procedures and encourage financing through instruments such as green and thematic Sukuk.
Trading activity in Pakistan’s debt market has also increased.
Average daily traded value rose from Rs. 3.93 billion in fiscal year 2025-26 to more than Rs. 10 billion in fiscal year 2026-27 as of October 15, 2026.
Thirteen banks have been onboarded and are actively participating in secondary-market trading arrangements.
The council discussed further measures to facilitate banks’ participation in government Sukuk trading through PSX and improve liquidity in the market.
SECP informed the council that it had consulted 17 pension fund managers and 44 insurance companies to identify barriers preventing greater investment in corporate debt instruments.
The discussions covered the availability of suitable investment products, secondary-market liquidity, issuer disclosures and the broader investment framework.
The finance minister also directed SECP to work with PSX and other relevant platforms to develop practical solutions for small and medium-sized enterprises (SMEs) seeking capital market financing.
He called for stronger engagement with investment banks, financial advisers and business organisations to encourage more companies to raise long-term funds.
Aurangzeb also urged SECP and PSX to renew engagement with MSCI over Pakistan’s potential future reclassification to Emerging Markets status.
He said the next phase of reforms should translate into higher corporate debt issuance, stronger market liquidity and broader investor participation.
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