Pakistan is planning to raise additional funds from China’s onshore debt markets following the successful launch of its first yuan-denominated panda bond, Finance Minister Muhammad Aurangzeb said, according to Bloomberg.

The country’s debut panda bond attracted strong investor interest, being oversubscribed by more than five times. Pakistan raised $258 million through the issuance, which officials described as its most cost-effective foreign currency bond to date.

Speaking in an interview, Aurangzeb said the government does not view the issuance as a one-off transaction but as part of a broader financing strategy.

He added that the overall panda bond program has a planned size of $1 billion, and Pakistan intends to proceed with additional renminbi-denominated issuances in subsequent tranches.

Pakistan has recently returned to international capital markets after a prolonged gap linked to its economic crisis and near-default situation in 2023.

Last month, the country also raised $500 million through a private placement, marking its first international commercial borrowing in four years.

The government has been implementing reforms under International Monetary Fund (IMF) programs aimed at stabilizing the economy, improving fiscal discipline, and rebuilding investor confidence.