The State Bank of Pakistan at an auction on December 24, sold Rs19.32 billion worth of 3-month and 12-month Treasury Bills. Of this amount Rs18.829 million were 12-month bills and Rs496 million 3-month. The bank received bids of over Rs53.05 billion.

The weighted average annual yield fell to 4.3597 per cent, from 6.8711 per cent at the last sale of 12-month paper on October 30. The yield for 3-month bill fell to 3.9020 per cent from 5.7976 per cent at the last sale on August 21.

According to the Statement of Affairs of the State Bank of Pakistan, for the week ended December 14, 2002, both notes in circulation and those issued maintained the rise in the week under review. Notes in circulation stood at Rs534,329.315 million against earlier week’s figure of Rs528,052.705 million, showing a rise of Rs6,276.61 million. When compared to the corresponding week a year ago when it was Rs470,037.585 million, the current week’s figure is higher by Rs64,291.73 million.

Total notes issued also recorded a rise in the current week. At Rs534,518.937 million it was larger by Rs6,292.808 million over the figure of Rs528,226.129 million recorded a week earlier. In the corresponding week last year it amounted to Rs470,169.753 million, which shows current week’s figure to be higher by Rs64,349.184 million over last year’s figure.

Approved foreign exchange rose further in the week to Rs387,261.838 million, larger by Rs107.312 million over preceding week’s figure of Rs387,154.526 million recorded a week earlier. When compared to the corresponding week a year ago, when the figure was Rs138,445.917 million, the current week’s figure was higher by Rs248,815.921 million.

Balances held outside Pakistan in approved foreign exchange increased in the week under review. It stood at Rs42,364.864 million over preceding week’s figure of Rs40,899.364 million, showing a rise of Rs1,465.5 million. Compared to last year’s corresponding figure of Rs60,621.531 million, the current week’s figure is lower by Rs18,256.667 million.

Loans and advances of scheduled banks to the three sectors — agricultural, industrial and export showed a mixed picture in the week under review. The agricultural sector received Rs54,064.188 million, against preceding week’s Rs54,324.188 million, showing a decline of Rs260 million. The current week’s figure is larger by Rs196.819 million over last year’s corresponding figure of Rs53,867.369 million. There was an inflow of Rs3,185.744 million to the industrial sector during the week under review, depicting a decline of Rs0.818 million over previous week’s Rs3,186.562 million. When compared to last year’s corresponding figure of Rs3,884.120 million, the current week’s figure is lower by Rs698.376 million.

The export sector received Rs45,119.565 million over previous week’s figure of Rs45,644.580 million, showing a fall of Rs525.015 million. Current week’s figure was lower by Rs3,622.686 million over last year’s corresponding figure of Rs48,742.251 million.

According to the weekly statement of position of scheduled banks for the week ended December 14, 2002, the sum of demand and time liabilities again rose in the week under review, as against a fall recorded a week earlier. The sum total stood at Rs1,594,773 million against preceding week’s Rs1,574,805 million, showing a rise of Rs19,968 million. As compared to the total deposits of Rs1,347,175 million in the corresponding period last year, current week’s deposits were higher by Rs247,598 million. During the week under review both type of deposits rose. Demand deposits rose to Rs713,037 million, or by Rs12,894 million over previous week’s Rs700,143 million, and was higher against last year’s corresponding figure of Rs591,158 million by Rs121,879 million.

In the current week, time deposits were higher over the preceding week and also against the corresponding week last year. At Rs881,736 million, it was larger by Rs7,074 million over previous week’s Rs874,662 million, and by Rs125,719 million, over last year’s corresponding figure of Rs756,017 million.

Scheduled banks borrowings from the State Bank of Pakistan against promissory notes and other approved securities declined in the current week. At Rs136,472 million it was smaller by Rs1,118 million over preceding week’s Rs137,590 million. Compared to last year’s corresponding figure of Rs118,543 million, the current week’s figure is higher by Rs17,929 million.

Scheduled banks borrowings from banks abroad stood at Rs14,704 million in the current week, as against Rs15,277 million a week ago, showing a decline of Rs573 million. It was smaller by Rs669 million over last year’s corresponding figure of Rs15,373 million.

Money at call and short notice in Pakistan fell further in the week under review. It stood at Rs28,639 million, a fall of Rs3,617 million over preceding week’s Rs32,256 million. When compared to last year’s corresponding figure of Rs45,610 million, the current figure is lower by Rs16,971 million.

Scheduled banks advances including bills purchased and discounted, rose in the week under review. At Rs986,444 million it was larger by Rs684 million over preceding week’s Rs985,760 million. Compared to the corresponding figure a year ago, when advances were to the tune of Rs959,647 million, the current week’s advances are higher by Rs26,797 million.

Scheduled banks investment in central government securities, Treasury bills and other approved securities, rose in the week under review. Such investments amounted to Rs617,490 million, a rise of Rs10,720 million over previous week’s Rs606,770 million.