SBP Injects Rs1T via OMO on August 7

Islamabad, August 8, 2025, 07:54 PM PKT — The State Bank of Pakistan (SBP) has unleashed a bold liquidity boost, conducting a reverse repo and Shariah-compliant Modarabah-based Open Market Operation (OMO) on Thursday, injecting a massive Rs1 trillion into the market, as per official data. The conventional reverse repo OMO contributed Rs898 billion: a 7-day reverse repo with Rs198 billion offered and accepted at 11.04%, and a 14-day reverse repo with Rs700 billion offered and accepted at 11.01%. The Shariah-compliant Modarabah-based OMO added Rs106 billion: a 7-day reverse repo with Rs103 billion at 11.13%, and a 14-day reverse repo with Rs3 billion at 11.13%.

This OMO, leveraging eligible government securities, aims to manage market liquidity and ensure banking system stability. Web context on recent OMOs shows frequent interventions, while posts found on X reflect mixed reactions—some see market support, others question sustainability. Critically, the narrative of “liquidity management” may mask underlying economic strain—web data hints at persistent needs, and X sentiment suggests distrust in long-term stability, pointing to potential risks.