SBP injects Rs966.5 billion into financial system through OMOs

The State Bank of Pakistan (SBP) injected a total of Rs966.5 billion into the financial system on Friday, through both conventional and Shariah-compliant Open Market Operations (OMOs). 

These operations were part of the central bank’s ongoing efforts to manage liquidity in the market and support monetary policy objectives.

In the conventional OMO, the SBP injected Rs816.5 billion, accepting bids for both 7-day and 28-day tenors. 

The 7-day tenor saw Rs800 billion accepted at a return rate of 19.59% per annum, while the entire Rs16.5 billion offered for the 28-day tenor was accepted at 19.61%.

Simultaneously, the SBP conducted a Shariah-compliant Mudarabah-based OMO, where Rs150 billion was injected. 

This operation only received bids for the 7-day tenor, with two bids accepted at a 19.58% return rate. 

No bids were received for the 28-day tenor.

The combined liquidity injections underscore the SBP’s strategic measures to stabilize the financial system, catering to both conventional and Islamic banking sectors.