State Bank of Pakistan Offers Limited Access to Overnight Repo Facility

Karachi: The State Bank of Pakistan (SBP) provided access to its overnight repo facility to four financial institutions on November 20, 2025, according to a recent announcement from the bank. The total amount accessed by these institutions reached Rs. 38,000 million.

No institutions accessed the overnight reverse repo facility on the same date, as indicated by the central bank’s data. The SBP’s repo and reverse repo facilities are critical tools in managing short-term liquidity in the financial system.

The overnight repo facility, often referred to as the “floor,” allows financial institutions to borrow funds overnight from the central bank against eligible securities. Meanwhile, the reverse repo facility, known as the “ceiling,” enables institutions to lend funds to the central bank.

The absence of activity in the reverse repo facility suggests that financial institutions did not lend excess funds to the central bank on the specified date. This absence might reflect current market conditions or strategic decisions by the institutions involved.

The State Bank of Pakistan regularly provides updates on these facilities as part of its monetary management and transparency objectives.