960412

Cash, short-term

securities fall heavily

by Rs 20.188bn

RECORDER REVIEW

KARACHI: Cash and short term securities depicted a massive decline of Rs 20.188 billion while approved foreign exchange account maintained its momentum and for the week denoted a significant rise of Rs 14.421 billion as against the statement of State Bank of Pakistan.

As per the weekly statement of State Bank dated April 4, 1996, the notes issued in the country rose by Rs 902 million and settled at Rs 259,349 million from Rs 258,447 million. At the same time, notes in circulation in the country increased from Rs 258,216 million and reached at Rs 259,098 million.

Government of Pakistan Securities within the country held by the Bank descended to Rs 172,078 million, indicating a drop of Rs 13,342 million.

The approved foreign exchange registered an improvement of Rs 14,241 million to Rs 46,677 million from Rs 32,436 million. In the meanwhile, the cash and short-term securities held outside the country changed its direction and fall massively to Rs 12,248 million from Rs 32,436 million.

SDRs held with the IMF stood unchanged at Rs 300 million. Advances to the main economic sector - Agriculture-showed a nominal drop of Rs 6 million to Rs 42,506 million. While loans to industrial sector slipped to Rs 14,986 million from Rs 15,014 million.

The export sector moved up by Rs 116 million and reached at Rs 32,504 million, while the other account closed at Rs 18,698 million from Rs. 18,680 million of the last week.

Credits to housing sector remained glued to previous week's level of Rs 6,496 million but treasury bills showed a small rise of Rs 150 million to Rs 3,280 million.

Bank's investment in government securities maintained its rising tempo for the second consecutive week and depicted a rise of Rs 15,187 million from the corresponding week's close of Rs 54,839 million.

Deposits of the Federal Government with the Bank skidded by Rs 4,944 million to Rs 19,110 million, while those of commercial banks and the provincial governments settled at Rs 74,574 million and Rs 5,797 million, showing a rise of Rs 12,068 million and Rs 1,811 million respectively.

SCHEDULED BANKS

General demand and time deposits of scheduled banks registered a decline of Rs 3,717 million and finished at Rs 709,982 million. With this drop the aggregate of these deposits reached at Rs 154,458 million.

Their advance to trade and industry changed its direction and during the week moved up to Rs 456,720 million from Rs 455,238 million.

Import bills purchased and discounted by the scheduled banks increased marginally to Rs 13,648 million, going up by Rs 34 million. Foreign bills (excluding import bills) P&D went up to Rs 44,255 million, an increase of Rs 8 million.

Their borrowings from State Bank went down to Rs 87,824 million from Rs 87,916 million, while their balances with the institutions also dropped massively by Rs 4,165 million to Rs 83,144 million.

Their borrowings from banks abroad showed a fall of Rs 535 million to Rs 14,194 million, while those of foreign currency balances registered an improvement of Rs 3,249 million and thus reached at Rs 16,021 million. Foreign currency deposits held by these banks settled at Rs 3,535 million, i.e. a rise of Rs 80 million.

Their investments in Central Securities moved down substantially for the second week in a row to Rs 103,585 million, indicating a decline of Rs 6,287 million.

While investments made in treasury bills during the week showed a quantum jump of Rs 3,734 million and in other investments fell by Rs 9 million, settling Rs 108,540 million and Rs 17,359 million respectively.