RBI to conduct second round of dollar-rupee swap auction on April 23

The Reserve Bank of India (RBI) on Monday said that it would conduct another round of dollar-rupee buy-sell swap of $5 billion for a tenure of three years on April 23, its second such auction within a month.
 

The new swap auction tool is meant to provide the central bank greater flexibility in managing banking system cash, while helping soak up any potential large dollar inflows that could make the rupee rise sharply.
 

This comes shortly after the RBI said last month it will conduct a dollar-rupee buy-sell swap auction of $5 billion for a tenure of three years on