Mumbai: The Reserve Bank on Monday purchased Rs 10,000 crore worth of long-term government securities and sold Rs 6,825 crore of four short-term securities through the special open market operations (OMOs).
Last week, the RBI had announced simultaneous purchase and sale of government securities under OMOs for Rs 10,000 crore each.
In the OMO purchase of 6.45% GS 2029, which is a benchmark security, the RBI received Rs 20,826 crore worth of bids from the participants but accepted Rs 10,000 crore of bids.
"The RBI offered to purchase the 10-year benchmark security which is liquid and highly traded in the secondary market. The outstanding stock of this bond is around Rs 67,447.851 crore.
This would have attracted the bidders to buy it through OMO purchase," said a bank treasurer at a state-run bank.
The central bank received 161 bids to purchase 6.45%-2029 bonds whereas it accepted 145 bids. The cut-off yield to accept the bid was 6.546%.
The RBI offered to sell four government securities -- 6.65% GS 2020; 7.80% GS 2020; 8.27% GS 2020 and 8.12% GS 2020 through OMO sale.
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