Pakistan’s Sukuk issuance surges 113% to Rs4tr in 2026

Pakistan issued Rs4.4tr worth of Sukuk in 2026, up 113% from close to Rs2tr a year earlier, Finance Minister Muhammad Aurangzeb said at a ceremony marking the milestone. He said cumulative issuance had reached about Rs10tr, while the five-year compound annual growth rate from 2020 was about 22%. Issuance in 2020 was close to Rs761bn.

Aurangzeb said the government intends to broaden the market through hybrid government Sukuk and shorter maturities, including instruments of 3 to 6 months. He also said retail investors should be able to participate through digital platforms, including with Rs5,000, while foreign investment in Sukuk remains underwhelming. The Ministry of Power has mandated a national grid company to prepare its first listed Sukuk, which the minister said could provide a benchmark for other companies.