FLASHNEWS:

State Bank of Pakistan Releases Data on Overnight Repo Facilities

Karachi: The State Bank of Pakistan has released new data detailing access to its overnight repo and reverse repo facilities. The report indicates that on July 15, 2025, one financial institution accessed the overnight repo facility, drawing an amount of Rs. 92,000 million. Meanwhile, three institutions utilized the overnight reverse repo facility, with a total amount of Rs. 111,000 million.

The overnight repo facility, often referred to as the "floor," allows financial institutions to borrow funds from the central bank, using securities as collateral. Conversely, the overnight reverse repo facility, known as the "ceiling," involves the central bank borrowing funds from institutions, also against securities.

These facilities are integral tools in the State Bank's monetary management efforts, influencing short-term interest rates and liquidity in the banking system.

The details released by the State Bank of Pakistan provide insight into the current monetary operations and the financial landscape of the country's banking sector. The use of these facilities reflects the ongoing dynamics and liquidity needs within the domestic banking system.