S&P Global Ratings has lifted Pakistan's long-term sovereign credit rating one notch to 'B' from 'B-', citing improved institutional capacity, fiscal consolidation, and a strengthening external position. The agency attributed the upgrade largely to Pakistan's implementation of reforms under a $7 billion IMF Extended Fund Facility secured in September 2024, which has helped rebuild foreign reserves to $25.3 billion — up from a multi-year low of $6.7 billion in December 2022. The move signals greater confidence among global lenders in Pakistan's ability to service its debts, potentially easing the country's access to international capital markets on more favourable terms.