The Reserve Bank had announced its intent to purchase Government securities under Open Market Operations (OMOs) for an aggregate amount of ₹ 30,000 crores in the month of March 2020 vide, press release dated March 20, 2020. The first tranche is scheduled to be conducted on March 24, 2020 and the second tranche is scheduled for March 30, 2020.
On a review of current liquidity and financial conditions, the Reserve Bank has decided to advance the second tranche of purchase of Government securities under Open Market Operations (OMOs) for ₹ 15,000 crores to March 26, 2020 (originally scheduled to be conducted on March 30, 2020). For the auction on March 26, 2020, the following Government securities shall be purchased through a multi-security auction using the multiple price method:
||8.08% GS 2022
||7.68% GS 2023
||7.27% GS 2026
||7.17% GS 2028
There is no notified amount against any of these securities within the aggregate ceiling of ₹ 15,000 crores set for the operation.
The Reserve Bank reserves the right to decide on the quantum of purchase of individual securities, accept offers for less than or higher than the aggregate amount of ₹ 15,000 crores (including due to rounding off) and also to accept or reject any or all the offers either wholly or partially without assigning any reason.
Eligible participants should submit their offers in electronic format on the Reserve Bank of India Core Banking Solution (E-Kuber) system between 10.30 a.m. and 12.00 noon on March 26, 2020. Physical offers would be accepted only in the event of system failure and in that event, they should be submitted to the Financial Markets Operations Department (email; Phone no: 022-22630982) in the prescribed form obtainable from the RBI’s website (https://www.rbi.org.in/Scripts/BS_ViewForms.aspx) before 12.00 noon.
The result of the auction will be announced on the same day and payment to successful participants will be made during banking hours on March 27, 2020. Successful participants should ensure availability of requisite amount of securities in their SGL accounts by 12 noon on March 27, 2020.
Chief General Manager
Press Release: 2019-2020/2102