Money supply slips below Rs50tr mark in July

Pakistan's broad money supply, known as M3, contracted in July 2026 after a sharp June rebound, according to provisional State Bank of Pakistan data. The total stood at Rs49.35tr, down from a revised Rs50.52tr in June, a monthly fall of 2.32%. Even so, the figure was 10.91% higher than the Rs44.49tr recorded in July 2025.

Narrow money, or M1, fell 3.33% month on month to Rs39.49tr from Rs40.85tr, as notes in circulation and transferable deposits both declined after June's build-up. Other deposits moved in the opposite direction, climbing to Rs6.13tr from Rs6tr, a 2.31% monthly gain. Mettis Global noted that this category also rose 6.08% on an annual basis.

National Savings Schemes balances, held with the Central Directorate of National Savings, edged up 1.47% to Rs3.68tr from Rs3.63tr in June. Deposits at post offices slipped 0.16% to Rs26.34bn from Rs26.39bn, while coins in circulation rose to Rs9.41bn from Rs9.40bn. The report links the savings increase to continued retail investor interest in government-backed instruments.