February 3, 2006	Friday	Muharram 4, 1427

KARACHI, Feb 2: State Bank on Thursday picked up excess liquidity from the banking system, keeping its pressure continues on money rates. The SBP conducted the open market operation (OMO) to mop up Rs17.5 billion at the rate of 8.05 per cent per annum.

This was the third continuous outflow of liquidity from the market in the last three days.

The SBP moped up Rs16.2 billion on Tuesday, sold Rs14 billion T-bills on Wednesday and moped up Rs17.5 billion on Thursday.

Analysts said the outflow created shortage of liquidity and the overnight rate remained at the higher level. The overnight rate on Thursday was above seven per cent.