The State Bank of Pakistan (SBP) on Friday injects over Rs9,995.35 billion into the market through Reverse Repo Purchase and Shariah Compliant Mudarabah-based Open Market Operations (OMO) to maintain liquidity.
The central bank conducted Reverse Repo Purchase (Injection) operations for 7- and 14-day tenors on October 3, 2025, injecting Rs9,607.85 billion against 34 bids. Additionally, Rs387.5 billion were inserted through Shariah Compliant Mudarabah-based OMO.
For the 7-day tenor of Reverse Repo, SBP received 16 bids totaling Rs407.85 billion at rates of return between 11.01 percent and 11.09 percent. The central bank accepted the entire amount at an 11.01 percent rate of return. For the 14-day tenor, SBP received 18 bids totaling Rs9,252 billion, accepting Rs9,200 billion at the same rate. A pro-rata allocation was made for Rs4,930 billion out of Rs4,982 billion offered at 11.01 percent.
Meanwhile, the SBP also conducted Shariah Compliant Mudarabah-based OMOs for 7- and 14-day tenors. Four bids were received for the 7-day tenor totaling Rs294.5 billion, all accepted at 11.13 percent. For the 14-day tenor, two bids totaling Rs93 billion were accepted at a rate of 11.09 percent.
The move demonstrates the SBP’s continued efforts to ensure adequate liquidity in the financial system. By conducting these operations, the central bank stabilizes short-term interest rates while supporting efficient functioning of money markets.
Officials stated that the SBP injects over Rs9,995 billion to provide financial institutions with necessary liquidity and manage monetary policy targets effectively. Market participants viewed the injections as timely, helping banks meet daily funding requirements and maintain smooth operations.
This injection, carried out through both conventional Reverse Repo and Shariah-compliant Mudarabah methods, underscores the central bank’s dual approach to liquidity management while adhering to conventional and Islamic finance standards.
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