October 17, 2007	Wednesday	Shawwal 4, 1428

On October 10, the State Bank of Pakistan sold Rs15.48 billion worth of 12 month T-bills after receiving bids worth Rs16.48 billion. The cut off yield on 12 month Treasury bills remained at 9.3990 per cent at the auction.

The SBP did not receive any bids for 6 month and 3 month bills. It was the fourth consecutive auction at which there were no bids for these tenors.

According to the Statement of Affairs of the State Bank of Pakistan, for the week ended July 2September 29, 2007, both notes in circulation and those issued decreased in the week. Notes in circulation stood at Rs927,989.908 million against earlier week’s figure of Rs935,210.451 million, a fall of Rs7,220.543 million. When compared to the corresponding week a year ago when it was Rs812,447.661 million, the current week’s figure is higher by Rs115,542.247 million.

Total notes issued also declined in the current week over preceding week’s level. At Rs928,183.045 million it was smaller by Rs7,027.406 million over the figure of Rs935,210.451 million recorded a week earlier. In the corresponding week last year it amounted to Rs812,671.007 million, which shows current week’s figure to be higher by Rs115,512.038 million over last year’s corresponding figure.

Approved foreign exchange increased in the week to Rs690,290.027 million or by Rs7,204.301 million over preceding week’s figure of Rs683,085.726 million. When compared to the corresponding week a year ago, when the figure was Rs500,133.868 million, the current week’s figure is higher by Rs190,156.759 million.

Balances held outside Pakistan in approved foreign exchange declined in the week under review. It stood at Rs183,923.760 million over preceding week’s figure of Rs187,220.648 million, a fall of Rs3,296.888 million. Compared to last year’s corresponding figure of Rs146,018.081 million, the current week’s figure is larger by Rs37,905.679 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 Rs57,955.896 million, similar to preceding week’s figure. The current week’s figure is smaller by Rs4,733.83 million over last year’s corresponding figure of Rs62,689.726 million.

There was an inflow of Rs40,014.726 million to the industrial sector during the week under review, a decline of Rs513.411 million against preceding week’s figure of Rs40,528.137 million. When compared to last year’s corresponding figure of Rs8,182.055 million, the current week’s figure is higher by Rs31,832.671 million.

The export sector received Rs100,461.179 million against previous week’s figure of Rs100,013.221 million, a rise of Rs447.958 million. Current week’s figure was smaller by Rs10,247.69 million over last year’s corresponding figure of Rs110,708.869 million.

According to the weekly statement of position of all scheduled banks for the week ended September 29, 2007, deposits and other accounts of the scheduled banks stood at Rs3,464.687 billion, larger by Rs57.241 billion over preceding week’s figure of Rs3,407.446 billion. Commercial banks deposits showed an increase of Rs56.899 billion over the week to Rs3,452.612 billion, against preceding week’s Rs3,395.713 billion. Specialised banks deposits stood at Rs12.075 billion, against preceding week’s Rs11.732 billion, a fall of Rs0.343 billion.

Borrowings by all scheduled banks increased during the week over preceding week’s figure. It rose to Rs394.459 billion over preceding week’s figure of Rs378.550 billion, a rise of Rs15.909 billion. This was primarily due to a rise in the borrowings by commercial banks, which rose to Rs313.178 billion against previous week’s Rs297.474 billion, or by Rs15.704 billion. Borrowings by specialized banks stood at Rs81.281 billion, against preceding week’s figure of Rs81.076 billion, a rise of Rs0.205 billion.

Gross advances stood at Rs2,450.713 billion in the week under review, an increase of Rs23.579 billion over preceding week’s figure of Rs2,427.134 billion. Advances by commercial banks rose to Rs2,355.421 billion against earlier week’s figure of Rs2,330.919 billion, or by Rs24.502 billion. Advances of specialized banks stood at Rs95.293 billion, higher by Rs0.922 billion over earlier week’s figure of Rs96.215 billion.

Investments of all scheduled banks increased in the week by Rs13.205 billion to Rs1,245.411 billion against preceding week’s figure of Rs1,232.206 billion. Commercial banks investment rose to Rs1,231.151 billion, from earlier week’s Rs1,218.355 billion, larger by Rs12.796 billion. Specialised banks investment stood at Rs14.260 billion, against preceding week’s Rs13.851 billion, larger by Rs0.409 billion.

Cash and balances with treasury banks of all scheduled banks rose by Rs12.643 billion during the week to stand at Rs356.764 billion against earlier week’s Rs344.121 billion. The figure for commercial banks stood at Rs354.227 billion against preceding week’s figure of Rs341.733 billion, a rise of Rs12.494 billion, while of specialised banks it stood at 2.537 billion over previous week’s 2.389 billion.

Total assets of scheduled banks stood at Rs4,660.397 billion, larger by Rs81.892 billion, over preceding week’s figure of Rs4,578.505 billion. Meanwhile, commercial banks assets stood at Rs4,545.152 billion, larger by Rs80.834 billion over previous week’s figure of Rs4,464.318 billion. Specialised banks assets rose to Rs115.244 billion, or by Rs1.057 billion over previous week’s Rs114.187 billion.