ISLAMABAD – State Bank Injects Rs 347 Billion Into The Money Market. State Bank of Pakistan, on Thursday, injected Rs. 347 billion into money market for eight days as reverse repo purchase through its open market operation.
According to a press release by the State Bank, there were 8 bids of Rs. 355 billion. From within these, 7 of Rs 347 billion was selected. Meanwhile, the rate of return accepted is 11.01 percent per annum, said SBP release.
Earlier this month, the State Bank of Pakistan announced the monetary policy. In that, the policy rate was at 13.25 percent. Meanwhile, Central banks of several countries have slashed their interest rates to stimulate growth. All of this is in the wake of a global slowdown due to the coronavirus.
State Bank Injects Rs 347 Billion Into The Money Market.
Meanwhile, several economic experts have pointed out that it is high time for the SBP to cut its policy rate. “The central bank should reduce the interest rate significantly. As the policy in December is not relevant anymore,” said Dr. Salman Ahmed, Chief Investment Strategist at Lombard, while talking to a private channel.