RBI sells Rs 50,000 cr govt securities in open market operation to drain surplus liquidity

The Reserve Bank of India (RBI) accepted bids worth Rs 50,000 crore in the first tranche of its open market operation (OMO) sale of government securities, as it stepped up efforts to absorb surplus liquidity from the banking system. The RBI accepted Rs 7,005 crore of the 7.59 per cent government securities maturing in 2029 at a cut-off yield of 6.6007 per cent and Rs 7,255 crore of the 6.79 per cent GS 2029 at 6.7023 per cent, according to a release. It accepted Rs 1,005 crore of the 7.61 per cent GS 2030 at 6.8191 per cent and Rs 12,645 crore of the 5.77 per cent GS 2030 at 6.8589 per cent. The central bank further accepted Rs 3,250 crore of the 6.68 per cent GS 2031 at 6.9080 per cent, while the largest acceptance of Rs 18,840 crore was for the 8.28 per cent GS 2032 at a cut-off yield of 7.0090 per cent.