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The State Bank on Monday invited tenders for the auction of treasury bills and set a target of 60 billion. The SBP set the huge target in the wake of Rs 90.9 billion inflows scheduled next Thursday. The auction will be held on Wednesday for 3-month and 12-month maturity. However, the market was short on Monday and the banks had to go for discounting of 1.219 billion.
Last week, the State Bank injected over Rs 9 billion to bring some liquidity in the market. Market experts said that the dry money market witnessed a high overnight rate of 7.4 percent.

Copyright Business Recorder, 2005

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