i)
Any transaction involving government securities either
for repurchase or as
collateral
will be accompanied by same day movement of securities
through SGLA or physical delivery of security, as the
case may be, alongwith full movement of funds. Further,
securities held/acquired by banks/NBFls on account of
transactions with customers other than banks/NBFls,
will neither be counted towards SLR of the concerned
bank/ NBFl nor will be utilized for onward REPO with
other banks/NBFls.
ii)
To ensure proper monitoring of cash flow, and interest
rate risk, all REPO
transaction
will be for fixed maturity.
iii)
Banks will revalue their security holdings on daily basis
with effect from 1st
January
2000. The rate used for the purpose will be KIBR (Karachi
Inter-
Bank
Rate) which will be introduced shortly. In case KIBR is
not available,
rate)
obtained by the bank from an independent and reliable
source will be
used
till such time KIBR is introducing in the market.