MUMBAI, Jan 1: The Reserve Bank will infuse Rs 8,000 crore into the financial system by purchasing government securities on January 4.”Consistent with the stance of monetary policy and based on the current assessment of prevailing and evolving liquidity conditions,the Reserve Bank has decided to conduct Open Market Operations (OMO) by purchasing government securities for an aggregate amount of Rs 8,000 crore through multi-security auction,” RBI said in a release.
The bank will auction three government securities with maturities in 2022, 2025 and 2027.
OMOs are conducted by RBI by way of sale/purchase of government
securities to/from the market, to adjust the rupee liquidity conditions.
The result of the auction will be announced on the same day and
payment to successful offerers will be made during banking hours on January 7, the release added.
(UNI)
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