The State Bank on Tuesday conducted Open Market Operation to suck up excess liquidity and pressuring the money rates. The State Bank mopped up Rs 11.450 billion for one week at 3.75 percent return. Market punters said that the market was over-liquid and the overnight rate was hovering around 1 to 1.25 percent. They said that after the OMO, the overnight rate rose to 2 to 2.5 percent.

Copyright Business Recorder, 2005