ON August 2, the State Bank of Pakistan raised the yields on treasury bills. For 6 months the cut-off yield was raised by 32 basis points to 8.814 per cent, while for three months it was raised by 31 basis points to 8.6417 per cent and for 12 months it was increased to 9.0046 per cent.

The central bank picked up Rs6.2bn; Rs5.932bn raised for three-month T-bills, Rs23.9 million for six-month and Rs91 million for 12-month bills.

On August 3, the SBP raised Rs15bn by selling T-bills through open market operation. Bids received were to the tune of Rs30bn. Amount was raised at 8.4 per cent.

On August 4, the State Bank of Pakistan drained out Rs25bn from the market through the open market operation; Rs12.6bn of T-bills were sold in three-day repo at 8.1 per cent, while Rs12.95bn were sold in 13-day repo operation at 8.4 per cent.

According to the weekly statement of position of all scheduled banks for the week ended July 22, 2006, deposits and other accounts of the scheduled banks stood at Rs2,815.078bn, higher by Rs6.26bn over preceding week’s figure of Rs2,808.818 billon. Commercial banks deposits showed a rise of Rs6.378bn over the week to Rs2,802.373bn against preceding week’s Rs2,795.995bn, while of specialised banks it fell by Rs0.117bn to Rs12.705bn, over previous week’s Rs12.822bn.

Borrowings by all scheduled banks increased during the week over preceding week’s figure. It rose to Rs373.336bn over preceding week’s figure of Rs352.756bn, a rise of Rs20.58bn. This was primarily due to a rise in the borrowings by commercial banks, which rose to Rs290.003bn against previous week’s Rs269.653bn, or by Rs20.35bn, while borrowings by specialised banks stood at Rs83.334bn.

Gross advances stood at Rs2,167.677bn in the week under review, a rise of Rs1.977bn over preceding week’s Rs2,165.700bn. Advances by commercial banks rose to Rs2,073.944bn against earlier week’s Rs2,072.432bn, larger by Rs1.512bn, while of specialised banks it stood at Rs93.734bn.

Investments of all scheduled banks increased in the week by Rs1.505bn to Rs832.623bn against preceding week’s figure of Rs831.118bn. Commercial banks investment increased to Rs818.143bn, from earlier week’s Rs814.584bn, larger by Rs3.559bn, while of specialised banks it stood at Rs14.479bn against previous week’s Rs16.534bn, smaller by Rs2.055bn.

Cash and balances with treasury banks of all scheduled banks increased by Rs59.524bn during the week to stand at Rs305.199bn against earlier week’s Rs245.675bn. The figure for commercial banks rise to Rs302.591bn against preceding week’s Rs243.828bn, an increase of Rs58.763bn. For specialised banks there was a fall of Rs0.762bn to Rs2.608bn, against earlier week’s Rs1.846bn.

Total assets of scheduled banks stood at Rs3,740.477bn, a rise of Rs22.601bn, over preceding week’s figure of Rs3,717.876bn. Meanwhile, commercial banks assets stood at Rs3,628.381bn, higher by Rs22.495bn over previous week’s Rs3,605.886bn. Specialised banks assets rose by Rs0.108bn to Rs112.097bn against previous week’s Rs111.989bn.