The Reserve Bank of India (RBI) today bought bonds worth Rs 10,435 crore through open market operations (OMO), against a target of Rs 12,000, as part of its strategy to infuse liquidity into the system.
Four securities were on offer for OMO and the RBI subscribed to all of them, the central bank said in a statement.
While government securities (G-Sec) maturing in 2017 with a coupon rate of 8.07% garnered over Rs 267.94 crore, 7.80% G-Secs maturing in 2021 garnered Rs 4,169.59 crore.
Furthermore, 8.08% G-Secs maturing in 2022 mopped up Rs 2,997.56 crore and 8.28% G-Secs maturing in 2032 garnered Rs 3,000 crore.
With this, the central bank has infused nearly Rs 73,000 crore into the financial system in eight tranches in the last two months.
OMOs are the "first preference" of the RBI for injecting liquidity and there is an opportunity to raise up to Rs 2.74 lakh crore through the window.
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RBI Deputy Governor Subir Gokarn had earlier said that liquidity is likely to be under pressure for some more time on account of factors such as advance tax payments.
Overnight drawings by banks from the RBI's liquidity adjustment facility have exceeded Rs 1,20,000 crore and it has said in the past that the deficit has exceeded its target of 1% of net demand and time liabilities (NDTL).