The Reserve Bank Monday announced a Rs 25,000-crore liquidity injection through purchase of government securities in May.
The purchase, called as open market operations (OMOs), will be undertaken in two equal tranches with the first one on May 2, the central bank said in a statement.
The RBI said the OMOs are being carried out "based on a review of the evolving liquidity conditions and assessment of the durable liquidity needs going forward".
It can be noted that the RBI has been using OMOs through the prolonged period of weak liquidity starting FY19 itself and repurchased bonds of over Rs