Information on the allocation and pricing of over-the-counter (OTC) markets is scarce. Furfine (1999) pioneered an algorithm that provides transaction-level data on the OTC interbank lending market. The veracity of the data identified, however, is not well established. Using permutation methods,...

This paper shows that depending on the distribution of banks' uncertain liquidity needs and on how monetary policy is implemented, frictions in the interbank market may reinforce the effectiveness of monetary policy. These frictions imply that with its lending and deposit facilities the central...

In this paper, integration of financial markets in Pakistan with those in United Kingdom, have been investigated. For this purpose we have tested the presence of co integration among Call money Rates (CMR) and t-bills rates (TBR) of Pakistan and UK. Our data consist of monthly rates of the...