Pakistan, June 27 -- Karachi - The State Bank of Pakistan (SBP) has supplied a massive Rs12.37 trillion into the banking system via Open Market Operations (OMOs) on Friday. These injections aim to ease the short-term liquidity crunch gripping many banks.

A substantial amount-Rs12.2 trillion-was provided through a conventional seven-day reverse repo, where banks deposit government securities and earn interest. Concurrently, the SBP deployed Rs178 billion under a Shariah-compliant Modarabah reverse repo to support the Islamic banking sector.

In the conventional operation, the SBP received Rs12.42 trillion in bids and accepted Rs12.2 trillion at a cut-off rate of 11.07%, with bid rates ranging between 11.04% and 11.20%. Out of 34 bids subm...