January 07, 2008	Monday	Zilhaj 27, 1428

On January 2, the State Bank of Pakistan mopped up Rs23.597 billion worth of treasury bills in the auction. There was no major change in the cut off yields.

The State Bank raised Rs95.59 million worth of 6 month T-bills at 9.2584 per cent, Rs13.7 billion through sale of one year T-bills at 9.4429 per cent and Rs9.79 billion of one year T bills at 9.0942 per cent.

According to the Statement of Affairs of the State Bank of Pakistan, for the week ended July 2December 22, 2007, both notes in circulation and those issued increased in the week. Notes in circulation stood at Rs1,065,595.452 million against earlier week’s figure of Rs1,037,506.597 million, a rise of Rs28,088.855 million. When compared to the corresponding week a year ago when it was Rs884,855.438 million, the current week’s figure is higher by Rs180,740.014 million.

Total notes issued also rose in the current week over preceding week’s level. At Rs1,065,724.337 million it was larger by Rs28,095.527 million over the figure of Rs1,037,628.810 million recorded a week earlier. In the corresponding week last year it amounted to Rs885,058.345 million, which shows current week’s figure to be higher by Rs180,665.992 million over last year’s corresponding figure.

Approved foreign exchange decreased further in the week to Rs676,552.402 million falling by Rs2,133.842 million over preceding week’s figure of Rs678,686.244 million. When compared to the corresponding week a year ago, when the figure was Rs540,613.462 million, the current week’s figure is higher by Rs135,938.94 million.

Balances held outside Pakistan in approved foreign exchange decreased in the week under review. It stood at Rs145,258.925 million over preceding week’s figure of Rs146,960.133 million, a fall of Rs1,701.208 million. Compared to last year’s corresponding figure of Rs130,155.564 million, the current week’s figure is larger by Rs15,103.361 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 Rs57,855.896 million, similar to preceding week’s figure. The current week’s figure is smaller by Rs5,326.889 million over last year’s corresponding figure of Rs63,182.785 million.

There was an inflow of Rs40,490.735 million to the industrial sector during the week under review, a rise of Rs48.198 million against preceding week’s figure of Rs40,442.537 million. When compared to last year’s corresponding figure of Rs31,407.932 million, the current week’s figure is higher by Rs9,082.803 million.

The export sector received Rs100,275.858 million against previous week’s figure of Rs100,277.694 million, smaller by Rs1.836 million. Current week’s figure was smaller by Rs29,183.349 million over last year’s corresponding figure of Rs129,459.207 million.

According to the weekly statement of position of all scheduled banks for the week ended December 22, 2007, deposits and other accounts of the scheduled banks stood at Rs3,516.563 billion, smaller by Rs14.93 billion over preceding week’s figure of Rs3,531.493 billion.

Commercial banks deposits showed a decrease of Rs16.807 billion over the week to Rs3,502.665 billion, against preceding week’s Rs3,519.472 billion.

Specialized banks deposits stood at Rs13.899 billion, against preceding week’s Rs12.021 billion, a rise of Rs1.878 billion.

Borrowings by all scheduled banks increased during the week over preceding week’s figure. It rose to Rs478.675 billion over preceding week’s figure of Rs462.546 billion, a rise of Rs16.429 billion.

This was primarily due to a rise in the borrowings by commercial banks, which rose to Rs395.843 billion against previous week’s Rs380.954 billion, or by Rs14.889 billion.

Borrowings by specialized banks stood at Rs82.832 billion, against preceding week’s figure of Rs81.292 billion, a rise of Rs1.292 billion.

Gross advances stood at Rs2,633.389 billion in the week under review, an increase of Rs27.415 billion over preceding week’s figure of Rs2,605.974 billion. Advances by commercial banks rose to Rs2,530.165 billion against earlier week’s figure of Rs2,510.632 billion, or by Rs19.533 billion.