Reserve Bank of India (RBI) Deputy Governor K C Chakrabarty on Monday said there was adequate liquidity in the banking system. He was replying to a question on whether there was a possibility of a cut in the cash reserve ratio (CRR). He said appropriate measures would be taken to address liquidity issues.
“Liquidity is sufficient," Chakrabarty said on the sideline of a micro entrepreneur award function, organised by Citibank. RBI has already bought government securities of about Rs 15000 crore through open market operations (OMOs) in two consecutive weeks. It said it would conduct the third round of OMOs for Rs 10,000 crore on Thursday.