Global Outlook

 Cash-strapped Three days early on Friday, Pakistan avoided defaulting on its obligation to repay USD 1 billion in relation to a matured international Sukuk (Sharia-compliant bond). According to the actual plan, the nation was supposed to return the maturing investment in the international bond denominated in US dollars on December 5 according to The Express Tribune's article on Saturday. Abid Qamar, a spokesperson for the State Bank of Pakistan (SBP), confirmed to the publication that the USD 1 billion payment had been made. The bank has already paid Citigroup, which will next distribute the monies to the investors. Prior to that, the risk of default, as determined by a CDS for a period of five years, reached a record high of 123% last month, largely due to the impression that the nation would be unable to make the payment due to its low foreign exchange reserves. A derivative of insurance known as a CDS protects against the risk of repayment default. However, experts claimed tha...