Tuesday, June 22, 2021

RBI to conduct third open market purchases G-SAP on June 17

Must Read

The Reserve Bank will purchase government securities and state development loans (SDLs) through a multi-security auction using the multiple price method.

Under the tranche, up to Rs 10,000 crore of SDLs will be purchased.

“The result of the auctions will be announced on the same day and successful participants should ensure availability of securities in their SGL account by 12 noon on June 18, 2021.”

The programme’s third tranche was announced in Governor’s statement of June 4, 2021.

KS Legal & Associates Managing Partner Sonam Chandwani said: “The RBI announced the ‘G-SAP 1.0’ to manage the yield curve and it is important to note that G-SAP would be run alongside RBI’s regular operations including ‘LAF, OMOs and Operation Twist’. With a view to enabling a stable and orderly evolution of the yield curve, the RBI is likely to commit upfront purchases of government securities.”

“In addition to this, to ensure liquidity conditions move in accordance with RBI’s cautionary stance in monetary policies, the apex bank will continue to deploy operations under ‘LAF, reverse repo auctions, forex operations and OMOs’.”

Disclaimer: This story is auto-aggregated by a computer program and has not been created or edited by FreshersLIVE.Publisher : IANS-Media

Source link

- Advertisement -spot_img


Please enter your comment!
Please enter your name here

- Advertisement -spot_img
Latest News

Jujutsu Kaisen Chapter 155 Release Date and Time, Countdown, When Is It Coming Out?

Jujutsu Kaisen Chapter 155 Release Date and Time Jujutsu Kaisen is one of the most popular Japanese manga series....
- Advertisement -spot_img

More Articles Like This

- Advertisement -spot_img