At the Treasury bill auction held on December 23, 2004, the State Bank of Pakistan raised Rs15.25 billion in three-month treasury bills at a cut-off yield of 3.9462 per cent.

The central bank allowed a marginal rise of 9 basis points in average yield on three-month treasury bills from the previous cut-off yield of 3.8578 points. It has been raising treasury bills rates since mid February 2004.

According to the weekly statement of position of scheduled banks for the week ended December 11, 2004, the sum of demand and time liabilities decreased in the week under review.

The sum total stood at Rs2,195,173 million against preceding week's Rs2,196,668 million, a fall of Rs1,495 million. As compared to the total deposits of Rs1,862,375 million in the corresponding period last year, current week's deposits were higher by Rs332,798 million.

During the week under review, demand deposits stood at Rs1,121,079 million, a rise of Rs4,679 million over previous week's Rs1,116,400 million. It was also higher against last year's corresponding figure of Rs945,269 million by Rs175,810 million.

Time deposits fall in the current week. At Rs1,074,094 million it was lower by Rs6,174 million over previous week's Rs1,080,268 million and by Rs156,988 million over last year's corresponding figure of Rs917,106 million.

Scheduled banks borrowings from the State Bank of Pakistan against promissory notes and other approved securities rose in the current week. At Rs172,480 million it was higher by Rs862 million over preceding week's Rs171,618 million. Compared to last year's corresponding figure of Rs151,185 million, the current week's figure is higher by Rs21,295 million.

Scheduled banks borrowings from banks abroad stood at Rs8,598 million in the current week, as against Rs7,268 million a week ago, a rise of Rs1,330 million. It was however, smaller by Rs13,901 million over last year's corresponding figure of Rs22,499 million.

Money at call and short notice in Pakistan fell in the week over previous week's figure. It stood at Rs31,986 million, a fall of Rs3,715 million over preceding week's Rs35,701 million. When compared to last year's corresponding figure of Rs22,366 million, the current week's figure is higher by Rs9,620 million.

Scheduled banks' advances including bills purchased and discounted rose in the week under review. At Rs1,538,591 million it was larger by Rs11,131 million over preceding week's Rs1,527,460 million. Compared to the corresponding figure a year ago, when advances were to the tune of Rs1,148,469 million, the current week's advances are higher by Rs390,122 million.

Scheduled banks investment in central government securities, Treasury bills and other approved securities showed a fall in the current week when compared to preceding week's level.

Such investments amounted to Rs657,927 million, an increase of Rs107 million over previous week's Rs658,034 million. Compared to last year's corresponding figure of Rs750,340 million, the current week's investment is smaller by Rs92,314 million.

Total assets of scheduled banks increased in the week under review. These stood at Rs3,143,963 million against previous week's Rs3,141,312 million, a rise of Rs2,651 million. Compared to last year's corresponding figure of Rs2,675,238 million, it shows a rise of Rs468,725 million.