The State Bank of Pakistan in its recent Monetary Policy Statement on March 25, 2017 has maintained the status quo while keeping the Policy Rate unchanged at 5.75% due to expected low inflation and improvement in private sector credit off take.
On liquidity front, the money market faced relatively tight liquidity scenario evidenced by Rs. 5.37 trillion worth of OMO injections carried out by the SBP coupled with Rs. 39.10 billion worth of discounting availed by various counters during this month. The 3MK closed 5bps up at 6.12% while 6MK closed 4 bps up at 6.16%. The T-bill and PIB yields were up by 4 to 5 bps and 6 to 15 bps respectively.
Inflation for the month of March 2017 clocked in at 4.94% as compared to 4.22% in February 2017 and 3.94% in March, 2016. The average inflation during 9MFY17 stands at 4.01% compared to 2.64% during the same period last year.
Moreover, three T-bill auctions were conducted during this period whereby in total Rs. 840 billion was accepted against the participation of Rs. 1.084 trillion with major participation and acceptance in 3 months category. A PIB auction was also conducted whereby Rs. 28 bn was accepted against the participation of Rs. 69 bn with major participation and acceptance in 3 year category.
On the forex front, the rupee in interbank market closed almost flat at Rs. 104.85/$ while in the open market, it closed Rs. 0.80 stronger at Rs. 106.40/$ during the month.
April 30, 2020 (MLN): Pakistan's Forex Reserves increased by USD 1,162.70 Million or 6.72% and the total liquid foreign reserves held by the country stood at USD 18,463.00 Million on Apr 24, 2020.
According to data published by the State Bank of Pakistan (SBP) its reserves increased by USD 1,181.10 Million .
SBP received US$1.39 billion from IMF under the Rapid Financing Instrument (RFI) to address the economic impact of the Covid-19 shock. SBP has also made government external debt repayments amounting to US$ 234 million. Overall, during the week, SBP reserves increased by US$ 1,181 million to US$ 12,070.3 million.