The State Bank of Pakistan (SBP) has reported that the total money supply in the economy reached Rs 40.09 trillion by November 2024. This marks a modest monthly increase of 0.39% from October’s Rs39.93 trillion and a significant year-on-year surge of 13.95% compared to Rs35.18 trillion in November 2023.
Breaking down the money supply, Rs9.05 trillion was circulated as currency notes, while transferable deposits—funds readily accessible at par without penalties or restrictions—accounted for Rs22 trillion. The high reliance on currency notes, often attributed to Pakistan’s substantial informal economy, saw a monthly rise of 1.33% and a yearly increase of 7.89%, reflecting higher cash withdrawals amid persistent inflationary pressures.
Other deposits, amounting to Rs5.86 trillion in November, grew by 0.21% month-on-month and 11.06% year-on-year. These deposits include claims in national or foreign currency that are not exchangeable on demand but are supported by evidence of deposits.
Coins in circulation remained a minor component of the money supply, standing at Rs9.12 billion in November, slightly up from Rs9.09 billion in October but slightly lower than Rs9.24 billion recorded in November 2023.
