State Bank of Pakistan injects billions to boost market liquidity

WEB DESK: The State Bank of Pakistan (SBP) injected a total of Rs454.6 billion into the market on Tuesday through a combination of reverse repo purchases and Shariah-compliant Modarabah Open Market Operation (OMO).

According to the results of the OMO released, the central bank carried out an Open Market Operation, Reverse Repo Purchase (Injection), on December 5, 2023, with a duration of 3 days.

During this process, the central bank received 14 quotes, totaling Rs469.450 billion, with offered rates of return ranging between 22.06 per cent and 22.21 per cent.

Read more: Interbank closing: PKR gains ground vs US dollar

Out of these quotes, the SBP accepted 9, amounting to Rs434.6 billion, at a return rate of 22.11 per cent.

Simultaneously, the central bank executed a Shariah-compliant Mudarabah-based open market operation with a duration of 3 days.

In this segment, it received a single quote of Rs20 billion, which was accepted by the SBP at a cut-off rate of 22.11 per cent.