On December 16, the State Bank of Pakistan mopped up Rs21.9 billion from the inter-bank market at an open market operation, conducted to offset an inflow of Rs27 billion.

The central bank sold Rs18.9 billion T-bills repurchase agreements for one-week and Rs3 billion agreements for two-week at 2.47 and 2.39 per cent respectively.

According to the statement of affairs of the central bank, for the week ended December 11, 2004, both notes in circulation and those issued rose in the week. Notes in circulation stood at Rs711,920.147 million against earlier week's figure of Rs705,815.814 million, a rise of Rs6,104.333 million.

When compared to the corresponding week a year ago when it was Rs615,017.132 million, the current week's figure is higher by Rs96,903.015 million. Total notes issued also rose in the current week over preceding week's level.

At Rs712,058.792 million it was larger by Rs6,077.914 million over the figure of Rs705,980.878 million recorded a week earlier. In the corresponding week last year it amounted to Rs615,168.690 million, which shows current week's figure to be higher by Rs96,890.102 million over last year's corresponding figure.

Approved foreign exchange declined in the week, falling to Rs419,028.207 million or by Rs16,421.066 million over preceding week's figure of Rs435,449.273 million. When compared to the corresponding week a year ago, when the figure was Rs525,831.122 million, the current week's figure was smaller by Rs106,802.915 million.

Balances held outside Pakistan in approved foreign exchange rose in the week under review. It stood at Rs135,863.547 million over preceding week's figure of Rs126,160.340 million, a rise of Rs9,703.207 million. Compared to last year's corresponding figure of Rs79,744.612 million, the current week's figure is substantially higher by Rs56,118.935 million.

Loans and advances of scheduled banks to the three sectors -- agricultural, industrial and export showed a mixed trend in the week under review. The agricultural sector received Rs58,386.694 million similar to preceding week's figure. The current week's figure is larger by Rs3,292.79 million over last year's corresponding figure of Rs55,093.904 million.

There was an inflow of Rs1,183.834 million to the industrial sector during the week under review, against preceding week's figure of Rs1,184.505 million, showing a fall of Rs0.671 million. When compared to last year's corresponding figure of Rs2,664.967 million, the current week's figure is lower by Rs1,481.113 million.

The export sector received Rs99,150.447 million against previous week's figure of Rs98,368.901 million, a rise of Rs781.546 million. Current week's figure was larger by Rs23,942.872 million over last year's corresponding figure of Rs75,207.575 million.

According to the weekly statement of position of scheduled banks for the week ended December 4, 2004, the sum of demand and time liabilities increased in the week under review.

The sum total stood at Rs2,196,668 million against preceding week's Rs2,188,411 million, a rise of Rs8,257 million. As compared to the total deposits of Rs1,855,035 million in the corresponding period last year, current week's deposits were higher by Rs341,633 million.

During the week under review, demand deposits stood at Rs1,116,400 million, a rise of Rs2,006 million over previous week's Rs1,114,394 million. It was also higher against last year's corresponding figure of Rs930,909 million by Rs185,491 million.

Time deposits rose in the current week. At Rs1,080,268 million it was larger by Rs6,251 million over previous week's Rs1,074,017 million and by Rs156,142 million over last year's corresponding figure of Rs924,126 million.

Scheduled banks borrowings from the State Bank of Pakistan against promissory notes and other approved securities rose in the current week. At Rs171,618 million it was higher by Rs1,278 million over preceding week's Rs170,340 million. Compared to last year's corresponding figure of Rs149,772 million, the current week's figure is higher by Rs21,846 million.

Scheduled banks borrowings from banks abroad stood at Rs7,268 million in the current week, as against Rs6,073 million a week ago, a rise of Rs1,195 million. It was however, smaller by Rs12,976 million over last year's corresponding figure of Rs20,244 million.

Money at call and short notice in Pakistan rose in the week over previous week's figure. It stood at Rs35,701 million, a rise of Rs2,481 million over preceding week's Rs33,220 million. When compared to last year's corresponding figure of Rs22,366 million, the current week's figure is higher by Rs13,335 million.

Scheduled banks' advances including bills purchased and discounted rose in the week under review. At Rs1,527,460 million it was larger by Rs11,728 million over preceding week's Rs1,515,732 million.

Compared to the corresponding figure a year ago, when advances were to the tune of Rs1,148,469 million, the current week's advances are higher by Rs378,991 million. Scheduled banks investment in central government securities, Treasury bills and other approved securities showed a rise in the current week when compared to preceding week's level.

Such investments amounted to Rs658,034 million, an increase of Rs13,666 million over previous week's Rs644,368 million. Compared to last year's corresponding figure of Rs750,340 million, the current week's investment is smaller by Rs92,306 million.

Total assets of scheduled banks increased in the week under review. These stood at Rs3,141,312 million against previous week's Rs3,123,430 million, a rise of Rs17,882 million. Compared to last year's corresponding figure of Rs2,675,238 million, it shows a rise of Rs466,074 million.