After reviewing current liquidity and financial conditions, the Reserve Bank of India (RBI) has decided to take several steps to inject liquidity into the banking system, including purchase of government securities worth Rs 60,000 crore in three tranches.

Among a slew of measures to manage liquidity conditions, the RBI announced a USD/INR Buy/Sell Swap auction of USD 5 billion for a tenor of six months to be held on 31 January 2025.

To inject liquidity, RBI said open market operations (OMO) purchase auctions of Government of India securities for an aggregate amount of Rs 60,000 crore in three tranches of Rs 20,000 crore each will be held on 30 January, 13 February and 20 February.

Besides, a 56-day Variable Rate Repo (VRR) auction for a notified amount of Rs 50,000 crore will be held on 7 February.

"The Reserve Bank will continue to monitor evolving liquidity and market conditions and take measures as appropriate to ensure orderly liquidity conditions," the central bank said. 

Detailed instructions for each operation will be issued separately, it added.