Mumbai: The Reserve Bank on Tuesday said it will infuse Rs 10,000 crore into the financial system by purchasing government securities on Friday as part of liquidity injection measure.
"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 10,000 crore on February 15, 2013 through multi-security auction," RBI said in a statement.
As part of the OMO operation, the RBI will auction four government securities with maturity in 2018, 2020, 2026 and 2027.
Earlier this month, RBI Deputy Governor H R Khan had said the central bank would do OMO operation as and when needed.
"Between now and then we will assess. If needed we will do (OMO operation)," he had said.
PTI
First Published: Tuesday, February 12, 2013, 21:17