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Reserve Bank of India: Reserve Bank of India said on Friday that it will buy government securities with different maturity periods on 17 April, which will cost Rs 40,000 crore. In order to increase liquidity in the banking system, this third open market operation (OMO) will be procured by the Reserve Bank in the current financial year. The first purchase of Rs 20,000 crore was made on April 3, while the second purchase of the same amount was made on 8 April.
RBI puts around 7 lakh crores in the banking system
Official data has shown that since January 2025, the Reserve Bank has added about Rs 7 lakh crore in the banking system. Along with increasing liquidity, the Reserve Bank also cut the repo rate twice in February and April. Due to this, the interest rate on the loan of bank and NBFCs has come down. Let us know that to increase liquidity in banking systems, the RBI adopts many ways like Open Market Operation (OMO), Dollar-Rupaya Swap and Variable Repo Rate (VRR). & Nbsp;
What is open market operation?
Under this policy, RBI buys or sells government securities like bonds, securities to control money supply. In order to increase liquidity in the banking system and promote economy, RBI buys government securities, which brings money to the bank. Banks will be encouraged to give more loans. This will promote economic development. & nbsp;
Similarly, the RBI sells government securities to reduce access liquidity in the economy, which will reduce the capacity to give loans with banks and thus money will reach less in the market. & NBSP; Open Market Operation is a tool, which is used to control the supply rate and currency supply."text-align: justify;">ये भी पढ़ें:
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