Key Points
- Central bank conducts dual OMO injections worth Rs 9.99 trillion
- Reverse repo purchases of Rs 9.60 trillion dominate liquidity support
- Shariah-compliant Mudarabah OMO adds Rs 387.5 billion to market
- Rates of return accepted between 11.01% and 11.13% across tenors
ISLAMABAD: The State Bank of Pakistan (SBP) on Friday injected Rs 9,995.35 billion into the money market through conventional reverse repo purchases and Shariah-compliant Mudarabah-based open market operations (OMOs) to maintain liquidity.
According to data released by the SBP, the central bank conducted injections in both seven-day and 14-day tenors. Under reverse repo purchase operations, Rs 9,607.85 billion was injected against 34 quotes, while a further supply of Rs 387.5 billion was made via Shariah-compliant Mudarabah transactions.
For the conventional facility, the SBP received 16 bids worth Rs 407.85 billion for the seven-day tenor, with rates ranging between 11.01% and 11.09%. The entire amount was accepted at a rate of 11.01%. For the 14-day tenor, 18 bids were received, totalling Rs 9,252 billion at rates between 11.01% and 11.10%. The SBP accepted Rs 9,200 billion at 11.01%, with Rs 4,930 billion allocated on a pro-rata basis from the total Rs 4,982 billion offered at that rate.
In Shariah-compliant Mudarabah-based OMOs, the central bank accepted four bids worth Rs 294.5 billion for the seven-day tenor at 11.13%. The SBP also accepted two quotes totalling Rs 93 billion for the 14-day tenor at 11.09%.
Market participants noted that the injection size underscores liquidity management challenges amid tight monetary conditions and ongoing fiscal pressures, with the SBP maintaining a cautious stance on short-term funding costs.
