RBI to infuse Rs 12,000 cr liquidity via OMOs on March 3

The Reserve Bank will purchase government bonds through open market operations on March 3 to infuse Rs 12,000 crore into the system.

RBI said the open market operation (OMO) of government securities is being conducted based on the current assessment of prevailing and evolving market liquidity conditions.

"The Reserve Bank has decided to conduct purchase of Government securities under Open Market Operations (OMO).

"The OMO operations would be conducted for an aggregate amount of Rs 120 billion on March 3, 2016 (Thursday) through a multi-security auction." The securities identified for the OMO would be announced in due course, it said.

RBI will continuously monitor the evolving liquidity conditions and announce such measures as considered necessary, it said further.