August 19, 2022 (MLN): The State Bank of Pakistan (SBP) on Friday injected Rs862.35 billion into the money market through reverse repo purchase and Shariah-compliant mudarabah-based open market operation.

As per the SBP statement, through reverse repo purchase operation, the injected amount was Rs848.35 billion for 33 days at a 15.12% rate of return accepted per annum.

While, the amount injected through Shariah-compliant mudaraba-based operation was Rs14 billion, for 63 days at a 15.11% rate of return accepted per annum.

Twenty-eight bids were placed by participants for reverse repo purchases ranging between 15.12% to 15.28% to raise Rs848.35 billion. While SBP rejected all 12 bids that were received to raise Rs158.7 billion for 7 days.

While for Shariah-compliant mudarabah-based OMO, SBP accepted 2 bids that were offered to raise Rs14 billion for 63 days, however, rejected 3 bids worth Rs95 billion that were offered for 7 days injection.

To recall, in yesterday's OMO, SBP injected Rs310.4 billion into the money market at a 15.16% rate of return.

SBP usually conducts longer tenure OMO to ease liquidity constraints of banks and bring down secondary market yields.

To note, SBP is scheduled to meet on August 22, 2022, to decide about the policy rate which currently stands at 15%.

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Posted on:2022-08-19T14:26:51+05:00

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