Baqar HussainTHE central bank injected Rs1.25tr into the banking system through an open market operation last Friday. The injection was made in a seven-day contract at 6.07pc.
Earlier in the week on December 10, the government raised Rs84.055bn from the auction of Treasury bills of various tenors, failing to meet its target of Rs150bn.
The central bank had received bids worth a much higher Rs164.32bn, but only half of them were within the respective cut-off yields the government had determined for the auction. The cut-off yields were unchanged from the previous auction.
Of the total, three-month T-bills fetched the highest amount of Rs64.673bn at a cut-off yield of 6.3933pc, followed by six-month T-bills with Rs19.382bn at 6.3946pc. All bids for 12-month T-bills were rejected, as in the previous auction.
Only half of the bids received for the latest T-bill auction were within the respective cut-off yields determined by the government
Investors had showed most interest in three-month T-bills, which received bids worth Rs90.22bn, followed by six-month T-bills with Rs60.948bn and 12-month T-bills with Rs13.153bn.
According to the weekly statement of position of all scheduled banks for the week ending November 27, gross advances of all scheduled banks stood at Rs4,683.4bn, up 0.75pc over the preceding week’s figure of Rs4,648.34bn. When compared with last year’s corresponding figure of Rs4,398.758bn, the current week’s figure is higher by 6.47pc.
Advances of all commercial banks rose 0.78pc to Rs4,525.372bn in the week, against the previous week’s figure of Rs4,490.483bn. Advances of all specialised banks stood at Rs158.032bn in the week against the previous week’s figure of Rs157.857bn.
Investments of all scheduled banks stood at Rs6,626.016bn in the week under review, down 0.4pc from the preceding week’s figure of Rs6,651.913bn. When compared with last year’s corresponding figure of Rs4,832.103bn, the current week’s figure is higher by 37.12pc.
Investments by all commercial banks stood at Rs6,597.554bn in the week, against the preceding week’s figure of Rs6,623.47bn, also down 0.4pc. When compared with last year’s corresponding figure of Rs4,794.54bn, the current week’s figure is higher by 37.6pc. Investments by all specialised banks stood at Rs 28.462bn in the week.
Syed Zaki Hussain
