The Reserve Bank of India (RBI) today announced a series of measures to inject over Rs 1.1 trillion into the banking system. These measures come after a review of current liquidity and financial conditions.
The RBI will conduct three tranches of Government of India securities purchase auctions, each for an aggregate amount of Rs 20,000 crore. These auctions will be held on January 30, 2025, February 13, 2025, and February 20, 2025.
A 56-day Variable Rate Repo (VRR) auction will be held on February 7, 2025, for a notified amount of Rs 50,000 crore.
A USD/INR Buy/Sell Swap auction of $5 billion for a tenor of six months will be conducted on January 31, 2025.
The central bank emphasized that it will continue to closely monitor evolving liquidity and market conditions. The RBI will take further measures as necessary to ensure orderly liquidity conditions in the financial system.