Karachi: The Board of Directors of NBP Fund Management Limited has released the unaudited condensed interim financial statements for the NBP Government Securities Liquid Fund (NGSLF) for the quarter ending September 30, 2026. The report, dated November 3, 2026, highlights the performance of the fund amidst rising government securities yields and external financial uncertainties.

During the first quarter of fiscal year 2027, yields on government securities saw an upward trend, particularly towards the end of the quarter. This was attributed to ongoing inflationary pressures and heightened external uncertainties. The State Bank of Pakistan (SBP) conducted six Treasury Bill auctions from July through September 2026. The cut-off yields for these auctions, spanning tenors from one to twelve months, ranged from 11.25% to 12.35%. Yields were relatively stable in July but increased through August and September, with the six-month and twelve-month cut-offs reaching 12.45% and 12.49%, respectively, by the end of the quarter. Shariah-compliant government securities were also actively issued through the Pakistan Stock Exchange (PSX), with short-term Sukuk yields rising from about 11.30%–11.84% in July to approximately 11.68%–12.49% during the final auction in September.

According to information available from the Pakistan Stock Exchange (PSX), the NBP Government Securities Liquid Fund's stability rating stands at 'AAA (f)', as awarded by PACRA. This rating reflects the fund's exceptionally strong credit and liquidity profile. Treasury Bills constitute the major asset class for the fund, maintaining a minimum investment threshold of 70% in government securities, which results in exceptionally low exposure to credit, liquidity, and interest rate risks. The fund's investments are restricted to AA and above rated banks and development financial institutions (DFIs), with a maximum maturity of six months.

The size of the NBP Government Securities Liquid Fund decreased by 30%, classified as a very large or significant move, from Rs. 5,394 million to Rs. 3,800 million during the quarter. Despite this decrease in size, the unit price of the fund increased from Rs. 10.3388 on June 30, 2026, to Rs. 10.6039 on September 30, 2026. This reflects an annualized return of 10.17% compared to the benchmark return of 11.28%. The performance figures are net of management fees and all other expenses.

The fund earned a total income of Rs. 143.13 million during the year. After deducting total expenses amounting to Rs. 17.84 million, the net income stood at Rs. 125.29 million.