The Reserve Bank of India (RBI) is set to conduct the simultaneous purchase and sale of government securities under open market operations (OMOs) for Rs 10,000 crore each.
Using the ‘multiple price auction’ method the RBI will purchase three government securities of different maturity dates aggregating to Rs 10,000 crore and sell two securities aggregating to the same amount on 18th March, 2021. The result of the auctions will be announced on the same day.
The RBI said in a statement that this decision was taken after a review of the current liquidity and financial conditions. The RBI further added it reserves the right to decide on the quantum of purchase/sale of individual securities.
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