Mumbai, March 11 The Reserve Bank of India (RBI) said on Wednesday that it will inject Rs 50,000 crore into the banking system through Open Market Operations (OMO) purchases of government securities on March 13.
The auction will take place between 9:30 am and 10:30 am on March 13, the central bank said in a release.
This auction is part of the Rs 1-lakh crore OMO purchase of G-Sec announced by the central bank on March 6.
The RBI will purchase securities such as 6.45 per cent GS 2029, 7.95 per cent GS 2032, 6.79 per cent GS 2034, 6.64 per cent GS 2035, 7.41 per cent GS 2036, 7.62 per cent GS 2039, and 7.06 per cent GS 2046.
The first auction was concluded on March 11, wherein the central bank injected Rs 50,000 into the banking system through the purchase of G-Sec.
Currently, the liquidity in the banking system is estimated to be in surplus of around Rs 2.74 lakh crore.
The OMO purchase auction was announced ahead of expected heavy outflows from the banking system due to advance tax and Goods and Services Tax (GST) payments scheduled later this month.
According to RBI data, the central bank has infused Rs 3 lakh crore through OMO purchases of government securities so far since the start of this calendar year.