On August 21, the State Bank of Pakistan mopped up Rs24.64 billion from the auction of 3-month, and 12-month Treasury Bills. The bids of Rs41.95 billion received for six-month bills where rejected.

During the month of July, the banks went for a much higher discounting than in June, as the State Bank kept mopping up more than the targeted liquidity from the interbank market. The market resorted to total discounting of Rs94 billion in July.

According to the Weekly Statement of Position of Scheduled Banks for the week ended August 10, 2002, the sum of demand and time liabilities maintained the upward trend in the week under review, mainly because of a substantial rise in demand liabilities. The sum total stood at Rs1,506,679 million, showing a rise of Rs6,197 million over the preceding week’s figure of Rs1,500,482 million. As compared to the total deposits of Rs1,301,964 million in the corresponding period last year, the current week’s deposits were higher by Rs204,715 million.

During the week under review, demand deposits rose by Rs6,094 million to Rs668,174 million over the previous week’s Rs662,080 million. It was higher against last year’s corresponding figure of Rs564,816 million by Rs103,358 million.

Meanwhile, time liabilities rose by Rs103 million to Rs838,505 million against the preceding week’s of Rs838,402 million. Compared to last year’s corresponding figure of Rs737,148 million, the current week’s figure is higher by Rs101,357 million.

Scheduled banks borrowings from the State Bank of Pakistan against promissory notes and other approved securities continued to decline further in the current week. At Rs129,742 million it was lower by Rs595 million over the preceding week’s Rs130,337 million. Compared to last year’s corresponding figure of Rs133,890 million, the current week’s figure is lower by Rs4,148 million.

Scheduled banks borrowings from banks abroad stood at Rs14,473 million in the current week, as against Rs14,518 million a week ago, showing a decline of Rs45 million. It was lower by Rs1,072 million over last year’s corresponding figure of Rs15,545 million.

Money at call and short notice in Pakistan increased in the week under review. It stood at Rs38,351 million, showing a rise of Rs3,384 million over the preceding week’s Rs34,967 million. When compared to last year’s corresponding figure of Rs26,291 million, the current week’s figure is higher by Rs12,060 million.

Scheduled banks advances including bills purchased and discounted, showed a further fall in the week under review. At Rs941,456 million it was lower by Rs3,968 million over preceding week’s figure of Rs945,424 million. Compared to the corresponding figure a year ago, when advances were to the tune of Rs924,409 million, the current week’s advances are higher by Rs17,047 million.

Scheduled banks investment in central government securities, Treasury bills and other approved securities also declined in the week under review. Such investments amounted to Rs544,302 million, showing a rise of Rs11,757 million over previous week’s Rs532,545 million. Compared to last year’s corresponding figure of Rs330,707 million, the current week’s investment is higher by Rs213,595 million.

Total assets of scheduled banks increased in the week under review. These stood at Rs2,361,832 million against previous week’s Rs2,348,344 million, showing a rise of Rs13,488 million. Compared to last year’s corresponding figure of Rs1,983,315 million, the current week’s figure shows a rise of Rs378,517 million.