BSc monthly magazine Aug

RBI buys G-Secs
BSc monthly magazine Aug The RBI on 14 Sep said it would purchase Govt Securities (G-Secs) under Open Market Operations (OMO) for Z10,000 cr on Sep 19. The move is based on the central bank's assessment of prevailing liquidity conditions and the durable liquidity needs going forward. BSc monthly magazine Aug  Ai /lOs are the market operations conducted by the RBI by way of sale/purchase in the market to adjust the rupee liquidity conditions on a durable basis. When the RBI feels there is excess liquidity in the market, it resorts to the sale of securities, BSc monthly magazine Aug thereby sucking out the rupee liquidity. Similarly, when the liquidity conditions are tight, it may buy securities from the market, thereby releasing liquidity into the market.