Asia-Beating Rally in Pakistan Bonds to Extend, Investors Say

Pakistan’s dollar bonds will likely extend their rally as credit-rating upgrades and the government’s plans to re-enter global debt markets bolster sentiment, according to investors.

The nation plans to sell yuan-denominated bonds later this year and return to the Eurobond market in 2026 for the first time in nearly five years, marking a pivotal moment for a country that came close to a default two years ago. The move could fuel further gains in its debt, according to Goldman Sachs Asset Management and UBS Asset Management.